Gulf Trade : 2024 Market Report
Special Report
Plaquenemines rendering . APM Terminals
December , both of which are funded under the 2022 Bipartisan Infrastructure Law . Brandy Christian , the port ’ s CEO , said in a statement the grant is “ the largest federal investment in a new container terminal in USDOT history .”
The $ 300 million in total federal funding — along with the $ 800 million from MSC subsidiary Terminal Investment Limited and Ports America — will support initial
Gulf Coast volumes steady amid broad US import decline
Containerized US imports and exports through the Gulf Coast , in laden TEUs , with year-over-year change
TEU volume
400,000 80 %
350,000
60 % 298,259 300,000 50 %
250,000 100,000 200,000
150,000 100,000 50,000
0 Jan L 2022
Source : PIERS , S & P Global
Apr Jul
Oct Nov , Jan 2022 2023
Apr Jul Oct
TEU Year-over-year % change
40 % 100 % 20 %
0 %
-20 %
-40 %
Year-over-year % change
© 2024 S & P Global construction of the estimated $ 1.8 billion LIT facility , with work slated to begin in 2025 .
With two container berths plus a smaller berth for barges and a 55-foot draft that will allow the terminal to handle ultra-large container ships when it opens in 2028 , LIT will have an annual capacity of 2 million TEUs .
In addition , Port NOLA has received $ 80 million in state funding for the LIT project , including $ 30 million for initial development and permitting and $ 50 million to build the roads that will connect the terminal to the interstate highway system .
Like the proposed APM terminal in Plaquemines , one of the LIT project ’ s major selling points is that the site is located downriver from New Orleans , which means it will not face the air-draft restrictions of the Crescent City Connection bridge that spans the Mississippi River . Air-draft restrictions and other issues have prompted ocean carriers to periodically skip calls to New Orleans on their Gulf Coast services .
But the ability of New Orleans to eventually offer consistent vessel service at LIT should give shippers more confidence in using the port , according to Christian .
“ With Louisiana ’ s unmatched inland connections and with no bridges in its way , the new Louisiana International Terminal will meet market demands for much-needed supply chain solutions and bring prosperity to our region for generations to come ,” she said in a Dec . 20 statement announcing the USDOT funding .
24 Journal of Commerce | February 12 , 2024 www . joc . com