by Dave Akers, IHSA
“Even if you are on the right track, you will get run over if you just sit there.” — Will Rogers
As of early 2026, U.S. ports are engaged in an aggressive modernization push driven by the need to handle larger vessels (“megaships”), reduce congestion, and meet strict new environmental standards.
The modernization efforts generally fall into four main categories: Physical Infrastructure, Digitalization, Automation, and Inland Connectivity.
Physical Infrastructure: “Big Ship” Readiness
Ports are physically expanding to accommodate the massive 20,000+ TEU (Twenty-foot Equivalent Unit) vessels that now dominate global trade.
Deepening & Widening: The Port of New York and New Jersey and the Port of Virginia have advanced projects to deepen channels to 55 feet, allowing fully loaded ultra-large vessels to dock safely.
Terminal Expansion:
Port of Savannah (Georgia): The “Ocean Terminal” renovation is a major ongoing project (part of a $4.5 billion ten-year plan) designed to handle two large container ships simultaneously. They have also introduced “lay berths” which are staging areas that reduce the idle time for ships waiting for a working berth.
Port of Long Beach: The pier expansion at Pier G ($365 million project) is adding acres of land and lengthening berths to handle larger vessels and increase throughput.
Crane Upgrades: Ports are installing “Super Post-Panamax” cranes. These taller, wider cranes can reach across the widest container ships, which speeds up loading and unloading cycles significantly.
Digitalization: The “Smart Port” Shift
To fix the visibility gaps that caused supply chain crises in previous years, ports are building “Port Community Systems” (PCS)—digital platforms that allow all stakeholders (terminals, truckers, railroads, cargo owners) to see data in real-time.
Data Highways: The Port of Long Beach has rolled out the “Supply Chain Information Highway” and a tool called CargoNav. These systems track cargo movement essentially like air traffic control, allowing cargo owners to predict exactly when their goods will be available for pickup.
Appointment Systems: To stop trucks from idling in long lines (which kills throughput), nearly all major terminals now use mandatory digital truck appointment systems. This spreads out traffic flow throughout the day rather than creating morning bottlenecks.
Automation (and the associated tension)
Automation is the most controversial aspect of modernization. While it increases theoretical throughput and consistency, it faces strong opposition from labor unions (like the ILA and ILWU) concerned about job losses.
Automated Terminals: The Port of Los Angeles and Long Beach have terminals (like LBCT) that are nearly fully automated, using autonomous guided vehicles (AGVs) and robotic stacking cranes. These terminals consistently outperform conventional ones in containers-per-acre density.
Hybrid Approaches: East Coast ports are largely pursuing “semi-automation” (e.g., automated gates and yard cranes but human-operated ship-to-shore cranes) to balance efficiency gains with labor contracts.
Inland Connectivity and Rail
Key Aspects of Logistics: “Peel Piles”: Drivers pull up to a designated pile and take the next available container.
Efficiency: Drastically increases driver turnover, often allowing for 5-7 turns per day compared to 2-3 in traditional methods.
Requirements: Typically require a minimum of 20 containers from the same vessel for the same, or aligned, truckers.
Technology: Often used with apps like “SmartStacks,” which help identify the destination of the container after it is loaded.
Throughput is often limited not by the dock, but by how fast cargo leaves the terminal.
On-Dock Rail: The Port of Long Beach is investing $1.5 billion into the Pier B On-Dock Rail Support Facility. This allows containers to be loaded directly onto trains at the terminal, skipping the truck trip entirely and speeding up movement to the Midwest.
Inland Ports: The Georgia Ports Authority is expanding its “Network Georgia” strategy by building inland rail terminals (like the Blue Ridge Connector). These act as extensions of the seaport, located hundreds of miles inland, allowing cargo to be mass-evacuated from the crowded coast to rural hubs for final sorting.
Federal Funding Support
Much of this is funded by the Bipartisan Infrastructure Law (BIL) and the Inflation Reduction Act (IRA).
Port Infrastructure Development Program (PIDP): Provides billions in grants specifically for modernizing freight infrastructure.
Clean Ports Program: Provides $3 billion for zero-emission technology. Interestingly, “green” equipment often improves throughput because electric cranes and trucks have less downtime for maintenance and fueling than diesel equivalents.
Modernizing a port is a delicate balancing act. Success requires the perfect alignment of high-tech infrastructure, such as the Pier B On-Dock Rail, and the human expertise of the workforce. While automation remains a point of tension, the shift toward semi-automated “hybrid” models and data-sharing platforms like “SmartStacks” shows a path forward where technology and labor work in tandem. By improving accuracy and reducing dwell times today, U.S. ports are ensuring they can accommodate the next generation of maritime trade without leaving the people who power the docks behind.
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