The Port of Portland, supported by a coalition committed to marine container shipping in Oregon, presented Oregon Governor Tina Kotek with a detailed business plan to sustain container service at Terminal 6, the state’s sole international box terminal.
The report highlights the crucial role of marine container shipping at T6 for Oregon’s economy and emphasizes the necessity of public investment to preserve this service while the Port continues its search for a new operator.
“Making sure container service remains available for Oregonians and businesses across the region – whether they’re in the seafood, grain or animal feed industry, or sell building supplies, tyres, shoes and toys – will require public and private support,” stated Port of Portland Executive Director Curtis Robinhold.
Governor Kotek had requested the plan following her promise to support the continuation of container service, which the Port of Portland has been subsidizing despite enduring significant financial losses over the years.
“Container service provides hundreds of local jobs, along with many more in connected industries and communities. The people who work these jobs spend their money locally, and they’re supporting shippers and industries from all over the state. Container service is the lifeblood of the region – it drives the economy,” explained Leal Sundet, secretary of International Longshore and Warehouse Union (ILWU) Local 8, whose membership includes most of the terminal’s workers.
The report, backed by an advisory council of industry experts, stakeholders, and major importers and exporters such as Kroger and Columbia Sportswear, along with labour representatives, outlines the following key points:
- Marine container service is vital to the region’s economy, generating 1,500 family-wage jobs and US$20 million in state and local tax revenue annually.
- The Port of Portland has been covering financial losses due to external factors but cannot sustain this without substantial state investment.
- To maintain and enhance Oregon’s ocean container service, both state financial support and cost efficiencies from industry partners are essential.
The Port of Portland has already worked out new rates with container shipping companies, negotiated labour efficiencies with the ILWU, and secured fee reductions with Harbor Industrial, the terminal’s stevedore.
Additionally, the US port is collaborating with its advisory council on strategies to boost container volumes, including new marketing initiatives and business plans aimed at doubling volumes over the next five to seven years. Short- and long-term state investments are crucial to reducing the Port’s financial losses in the coming year and achieving operational stability.
Governor Kotek has proposed a US$40 million state investment to maintain container service at Terminal 6, which includes US$5 million in operational support from the Joint Emergency Board in September, and US$35 million in her recommended 2025-27 budget for capital improvements and channel maintenance in the lower Columbia River. This funding must be approved by legislators in September and during the 2025 Legislative Session.
