Rail connections and massive infrastructure investment have an East Coast container port complex looking toward annual volume of 10 million twenty-foot equivalent units — and it’s not the Port of New York-New Jersey.
“The investments we’re making today in our port complex support the tremendous growth occurring in the Southeast today and for decades to come,” said Barbara Melvin, president and chief executive of South Carolina Ports. “With more than $3 billion invested in port infrastructure, SC Ports is perfectly positioned to be the preferred port on the U.S. East Coast.”
Ten million TEUs would be a record for an East Coast port. New York-New Jersey claims the high mark of 9.49 million TEUs set in 2022. South Carolina’s previous high was 2.85 million TEUs in 2022.
Melvin’s remarks came Wednesday in her third State of the Port address, which was posted in a release by SC Ports on its website.
Melvin said SC Ports is “significantly expanding” rail at Charleston with a direct connection to the port. A total of $400 million in state funding is being invested in the Navy Base Intermodal Facility on a 118-acre site in North Charleston near Leatherman Terminal.
The facility will provide 35,000 feet of processing tracks with six electric rail-mounted gantry cranes to transload containers between railcars and trucks. A mile-long road dedicated to port truck traffic will connect it to Leatherman Terminal, to speed container movements between the facilities.
The Navy Base will help move cargo between the Port of Charleston and inland ports, and onward to key regional markets including Atlanta; Louisville, Kentucky; Birmingham, Alabama; and Nashville and Memphis, Tennessee.
“With the support of our rail partners at CSX, Norfolk Southern, and Palmetto Railways, the Navy Base Intermodal Facility will make SC Ports well-positioned for future growth by providing a capacity of 1 million rail [container] lifts per year, nearly triple the amount of cargo we move by rail today,” Melvin said.
Cargo volume in fiscal 2024 increased 24% via daily rail service between the Port of Charleston and Inland Ports Greer and Dillon. At Greer, Melvin said the installation of 9,000 feet of new rail and an expanded container yard are underway.
“We are making strategic investments in rail-supported infrastructure to support [our customers’] growth in the Southeast.”
The reopening of the Hugh K. Leatherman Terminal is expected to unlock an additional 700,000 TEUs of annual capacity in Charleston, Melvin said. She also announced expansion plans for a second, 1,600-foot berth, taking the terminal to three berths and 2.4 million-TEU capacity.
Leatherman can accommodate container mega-ships with five ship-to-shore cranes clearing 169 feet above the wharf, and 25 hybrid rubber-tired gantry cranes.
Ocean carrier Zim Integrated Shipping Services already called as part of its new weekly Asia service.
“We have welcomed our first weekly, first-in-Asia service with Zim [Integrated Shipping Services], with many more to come,” said Melvin.
With expansions and modernization planned or completed for its Leatherman, Wando Welch and Columbus Street terminals, Melvin said SC Ports “is on the cusp” of attracting 10 million TEUs.
Charleston, with a draft of 52 feet, is the deepest harbor on the East Coast.
Major expansion is also slated for the North Charleston Terminal on the 280-acre site of the former WestRock paper mill along the Cooper River, purchased by SC Ports with support from the state. It will eventually boost capacity to 5 million TEUs, and will include 5,000 feet of linear berth space for container ships and 400 acres of terminal space for cargo.
“A modernized terminal with significant new container capacity will yield even more reliable, productive port service,” Melvin said. “This expansion, combined with efforts to raise the Don N. Holt Bridge and deepen the river to 52 feet, will enable North Charleston Terminal to handle the biggest ships calling the port today.”
The bridge carries I-526 over the Cooper River between Charleston and North Charleston but only has clearance of 155 feet above the river.
Wando Welch Terminal can work three mega container ships simultaneously and has annual capacity of 2.4 million TEUs. Construction of a toe wall will ensure 54-foot draft for vessels in front of the terminal and support the 52-foot harbor depth.
“The Southeast is where people are investing, and we are investing in our operations to support that growth,” Melvin said. “Companies can be confident that if they put capital in the ground and commit to this region, we have the infrastructure and capacity to grow along with them.”
South Carolina GDP growth in 2023 was third-fastest among all states at 8.3%. From 2020-2023, South Carolina had the third-highest population gain, at 5%.
“Shippers want their import distribution centers near big population centers and well-run ports — making South Carolina Ports the ideal gateway to the U.S. Southeast for importers,” Melvin said. “The growing population and industry base will drive new investments from cargo owners and attract ocean carriers to bring new services, increasing SC Ports’ cargo volumes and competitiveness.”
Find more articles by Stuart Chirls here.
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