The £120m is the firm’s largest infrastructure investment outside of the United States.
Luis Arriaga, managing director for UK, Ireland & Nordics, said: “This construction reaffirms UPS’s commitment to the UK and our confidence in its economy.
The facility is expected to be completed in the summer of 2017 and will act as a UK hub and distribution centre for the local area as well as a key gateway to UPS’s global transportation network.
Once completed, the centre will be able to process approximately 30,000 packages per hour, with room for further expansion.
DP World’s Chairman, H.E Sultan Ahmed bin Sulayem, said: “By using DP World London Gateway Park and Port, UPS will have a fast ‘global conveyor-belt’ directly connected to their own worldwide network.
“UPS’s hub will also provide distribution solutions to other logistics park occupiers. This combination of world class services will be a unique offering for the UK and Europe.”