Why US ports are getting a $21 billion upgrade –

US ports will receive millions of dollars in grants to improve cargo handling infrastructure.

The grants are part of the Biden administration’s $21 billion commitment to modernize port infrastructure in the United States

Mid-sized port cities like Baltimore are among the 2023 grant recipients. In November, the Port of Baltimore received a $47 million grant to bring an offshore wind power site into operation, among other improvements. For example, the funds will be used to finance a new berth for rolling freight. According to the Maryland Port Administration, Baltimore is the top U.S. destination for rolling cargo imports, which include John Deere farm equipment and BMW light commercial vehicles.

More than $653 million in Port Infrastructure Development Program grants were awarded to U.S. ports in 2023 by the U.S. Department of Transportation and the Maritime Administration. Other projects receiving federal funding include the Port of Tacoma Husky Terminal expansion in Washington state ($54.2 million) and the North Harbor Transportation System Improvement Project in Long Beach, California ($52.6 million). Dollar).

Port improvements also come from the Environmental Protection Agency, which provides funding to combat truck stoppages. The U.S. Department of Defense is deepening some East Coast waterways to accommodate larger ships.

Baltimore isn’t the only city with a growing port, according to maritime economists. Experts say more freight is being transported at gateways along the southeast coast of the U.S. as major access points are clogged with truck traffic.

“All ports on the East Coast are improving their infrastructure and capacity,” said Walter Kemmsies, managing partner of Kemmsies Group, a maritime business consulting firm currently working with the Port Authority of Georgia in Savannah. “That makes it more attractive for shipping companies. They want to be able to get in and out of a port very quickly, and they like to dock at multiple ports.”

Ports America has entered into a public-private partnership with the state of Maryland to manage equipment and operations at portions of the Port of Baltimore. The group told CNBC that since the partnership began in 2010, the Seagirt Marine Terminal alone has received $550 million in upgrades to densify the container port.

These upgrades build on previous plans to revitalize America’s declining industrial cities. In Baltimore, officials are addressing shortages along the supply chain outside the port. They expect the Howard Street Tunnel expansion project to increase double-stack rail capacity from Baltimore, which could help companies operating at the port move goods to and from points in the Midwest.

Watch them Video Above are more upgrades for the Port of Baltimore.