Federal, state, local and industry leaders broke ground Friday on a terminal facility at the former Bethlehem Steel site that will grow the Port of Baltimore’s container handling capacity by 70%.
The Sparrows Point Container Terminal is slated to be completed in 2030, by which point Baltimore will jump from the sixth- to the third-largest container port on the East Coast.
“Progress doesn’t just happen, progress is made to happen,” Gov. Wes Moore said in a statement. “From our response to the Key Bridge collapse two years ago to the recovery that continues to this day, Team Maryland and our federal partners are showing what it looks like to deliver progress through partnership. Today at Sparrows Point, we mark the next chapter in the Port of Baltimore’s success story — for our workers, for our state, and for our nation.”
The 168-acre container terminal and on-dock rail facility will handle about 1 million containers annually and generate an estimated $1.5 billion for the state. The terminal will also create more than 8,000 jobs, including 1,100 permanent International Longshoremen’s Association union jobs and 7,000 jobs indirectly connected to the terminal’s operations, according to a news release from the governor’s office.
Baltimore County Executive Kathy Klausmeier said the project will not only benefit families in her county but the entire region.
“Today is a great day for Baltimore County and shows what happens when we invest in good jobs for our residents, which empowers them to provide for their families, put food on their tables, and build strong futures,” Klausmeier said in a statement. “This partnership is an economic engine and continues to keep our region’s shipping industry among the best in the world.”
Scott Cowan, president of ILA Local 333, also praised the project’s impact on union workers.
“The Port of Baltimore and surrounding communities have built their livelihoods on the strength of this port, and today’s groundbreaking ensures that strength will only grow,” Cowan said in a statement. “The Sparrows Point Container Terminal means more jobs, more cargo, and more opportunity for our members. We are proud to support this investment and look forward to the work ahead.”
The terminal will include seven ship-to-shore cranes that will be able to service two ultra-large container vessels at one time. It will be developed in partnership with Terminal Investment Limited, a global leader in container terminal investments owned by MSC Mediterranean Shipping Company and Global Infrastructure Partners.
U.S. Rep. Johnny Olszewski, who saw several projects at Tradepoint Atlantic during his time as Baltimore County Executive, said the terminal would continue to breathe new life into the former Bethlehem Steel site.
“This new container terminal is the latest chapter of a great American comeback story – one that will create thousands of good-paying union jobs and open the door to long-term economic opportunity for many more Maryland families,” Olszewski said in a statement. “It’s further evidence that the former home of Bethlehem Steel, once a symbol of American industrial might and the heartbeat of the Sparrows Point community, is ready to do it again, in a new way, for a new generation.”
The project will be supported by about $1.2 billion in private financing secured by Terminal Investment Limited and Tradepoint Atlantic, as well as $88 million in state investments.
Among the funds that the state plans to invest are $48 million in conditional loans from the Department of Commerce through the Sunny Day Fund over the next six state fiscal years (pending legislative approval); $2 million in conditional loans from the Department of Commerce through the Advantage Maryland program; and $38 million in fiscal 2025 and 2026 budget allocations.
A nearly $40 million federal grant through the U.S. Maritime Administration’s Port Infrastructure Development Program and a payment in lieu of taxes (PILOT) agreement with Baltimore County will also support the project.
“Today’s groundbreaking at Sparrows Point is exactly the kind of strategic, long-term port investment the United States needs,” said Stephen Carmel, U.S. Department of Transportation Maritime Administration (MARAD) Administrator, in a statement. “The Department of Transportation and MARAD are committed to building a resilient maritime supply chain. Through the $39.7 million Port Infrastructure Development Program (PIDP) grant, MARAD is proud to support the terminal’s expansion. This project will dramatically strengthen America’s maritime supply chain and expand domestic cargo capacity on the East Coast.”
