2013 update on the panama canal expansion and ports in the atlantic and gulf coast states

7/30/2019 2013 Update on the Panama Canal Expansion and Ports in the Atlantic and Gulf Coast States

1/12

THE SOUTHERN OFFICE OF THE COUNCIL OF STATE GOVERNMENTSPO Box 98129 | Atlanta, Georgia 30359

ph: 404/633-1866 | fx: 404/633-4896 | www.slcatlanta.org

SERVING THE SOUTH

Sujit CanagaRetnaSenior Fiscal AnalystSouthern Legislative ConferenceMarch 2013

Southern

LegiSLative

ConferenCe

of

the CounCiLof

State governmentS

2013 UPDATE ON THE PANAMACANAL EXPANSION AND PORTSIN THE ATLANTIC AND GULF

COAST STATESAN ISSUE ALERT FROM THE SLC

Photo courtesy of the Port of Charleston

A Transformative Global Transportation Project:

Panama Canal Expansion

The ongoing Panama Canal expansion is perhaps themost transformative global transportation project now inprogress. Upon comple tion in 2014, the expanded PanamaCanal will facilitate an even greater low o trade betweenAsia and the Americas and will substantially impact thevolume o trade reaching Gul and Atlantic Coast ports inthe United States. The impetus for the expansion o theCanal, approved by the people o Panama in October 2006,sprang from that nations desire to continue as a pivotalplayer in global trade patterns and strategically leverageits greatest assetthe Panama Canalfor its own econom-

ic well-being.

For Panama, the only nation in the world with port ter-minals in two oceans, the Canal plays an extraordinaryrole, impacting practically every aspect o society. Atthe economic level, activity lowing from the Canal ac-counts for nearly 15 percent o gross domestic product, aclear indication o the enormous economic footprint othe Canal on the nation. The expansion project not on-ly will ensure the Canals dominance as one o the mostcritical global transportation linchpins, but it also will

strengthen the links between Asia, the United States andLatin America.

Forces Driving the Panama Canal Expansion

A few decades after the American-led effort to constructthe Panama Canal, completed in 1914, discussions onexpansion plans already were underway. The 48-milewaterway connecting the Paciic and Atlantic oceans,

known as the Panama Canal, then constituted, and stilremains, one o the most revolutionary navigational wa-ter channels in history. The Canal shortened the distances

between the East and West Coasts o the United Statessubstantially; a vessel sailing from New York to San Fran-cisco could cut its journey from more than 13,000 milesaround South America and Cape Horn, to slightly morethan 5,000 miles, a signiicant savings in terms o bothtime and resources.

During the years leading up to World War II, serious dis-cussions and preliminary excavations on this expansioneffort were held, but the initial momentum izzled. In theseven decades after World War II, the role o the Canal

was magniied with the immense growth o global tradeAs the irst decade o the 21st century advanced, this surg-ing world trade resulted in horrendous trafic jams, with astaggering number o colossal ships dropping anchor andwaiting their turn to transit. On the Atlantic side, theseships were laden with grain from the Midwest, computerand electronic products from Florida, coal from Appala-chia heading to Asia and, on the Paciic side, crammed withconsumer durables and electronics from Asia heading tothe American East Coast. The approximately 14,000 ves-sels carrying 280 million tons, or 5 percent o the worlds

ocean cargo, were being slowed considerably due to tre-mendous volumes o sea-borne trafic at the Canal.1

Even though oficials were running these shipping behe-moths through the Canal around the clock, the delays toshipping companies were overwhelming both in terms ofuel costs and wait times. Along with the immense growthin cargo volumes, the other discernible trend emerging

Copyright March 2013


2/12

2 UPDATE: THE PANAMA CANAL EXPANSION AND SLC STATES

Figure 1 Pre- and Post-Expansion Vessels Transiting the Panama Canal

Source: Panama Canal Authority, February 2011 (as presented in http://www.iwr.usace.army.mil/docs/portswaterways/rpt/June_20_U.S._Port_and_Inland_Waterways_Preparing_for_Post_Panamax_Vessels.pdf)

in the shipping industry was the construction o mas-sive new vessels. Since the opening o the Canal nearly acentury ago, the dimensions o cargo ships, naval vessels

and passenger ships have been determined by their abilityto traverse the Panama Canal. In fact, nautical terminol-ogy was adjusted to refer to a Panamax vessela vesselthat could be accommodated in the Canals 110-foot-widelock chambers. For nearly 90 years, the vessels that movedmost o the worlds trade were able to it into these lockchambers. These Panamax vessels had the capacity tocarry a maximum load o about 5,000 TEUs, or twen-ty-foot equivalent units, the nautical term for a standardcontainer.

21st Century Container Vessels

A new generation o vessels that exceeds the current ca-pacity o the Canals lock chambers has emerged andposed enormous infrastructure challenges, another devel-opment that propelled the expansion effort. For instance,the Mrsk Lines Gudrun Mrsk has the capacity to carryclose to double the capacity o the current class o vesselsthat transit the pre-expansion Panama Canal.* These in-ordinately large vessels are referred to as Post-Panamax

* Even larger vessels sail the oceans now. For instance, MrskLines PS-class vessels have the capacity to carry nearly three timesthe container load o Panamax vessels; the Emma Mrsk is capableo carrying 15,500 TEUs and has an overall length o 1,302 feet, awidth o 184 feet and a draft o 51 feet. The Emma Mrsk and herseven sister shipsEbba Mrsk, Edith Mrsk, Eleonora Mrsk, EllyMrsk, Estelle Mrsk, Eugen Mrsk and Evelyn Mrskare identicaand the wave o the future in the shipping industry. In Novem-ber 2012, the Marco Polo, a container ship owned by the MarseilleFrance-headquartered CMA CGM group, became the largest container ship in the world measured by capacity. The Marco Polocanhold 16,020 TEUs.

** For the purposes o this article, the term Post-Panamax refers tovessels that can be accommodated in the Panama Canal once the expansion is completed.

vessels and, increasingly, are being deployed to transportcargo across the globe as manufacturers, distributors, shipping companies and other interested parties seek to take

advantage o the economies o scale involved with theirusage.** Experts estimate these Post-Panamax vessels cur-rently account for 16 percent o the worlds container leetand, more importantly, 45 percent o the capacity o theleet, a stark reminder o their growing inluence in theglobal shipping industry.


3/12

UPDATE: THE PANAMA CANAL EXPANSION AND SLC STATES 3

Furthermore, the U.S. Army Corps o Engineers reportsthese numbers are projected to grow signiicantly over thenext two decades; by 2030, Post-Panamax vessels are ex-pected to constitute 27 percent o the worlds container leetand 62 percent o its capacity.2 Figure 1 provides a graphicalrepresentation o the transformation o vessels that will betransiting the Canal after the expansion. The new class oPost-Panamax vessels will be 40 percent longer, 64 percent

wider and require a 50-foot draft to transit the Canal. [W)esee a signiicant interest in using vessels o 10,000 TEUs andup, earlier rather than later, Jorge Quijano, administratoro the Panama Canal Authority, said about the introductiono these Post-Panamax vessels after the expansion. But weexpect to see early deployment o the 8,000- to 10,000-TEUvessels and gradually move up to the 12,000- to 13,000-plus-TEU ships that can it in the new locks.3

Power of Economies of Scale

Shipping experts and policymakers both within and out-side Panama realized the importance o the expansioneffort to accommodate the surging cargo volumes beingtransported across the oceans by this leet o supersizedships. In fact, along with Panamas desire to be an integralplayer in future global trade, another driving force for thecurrent expansion effort was the enormous gains to be re-alized by the power o economies o scale. Entities up anddown the supply chain, at every level, realized the consid-erable inancial gainsand improvements in operationaleficiency, productivity and proitabilitywith the de-ployment o bigger vessels.

Alberto Alemn Zubieta, the former administrator andCEO o the Panama Canal Authority, in a presentation inAugust 2012, noted two important examples o the lowercosts associated with Post-Panamax vessels transiting thePanama Canal.4 First, a transshipment o coal between thePort o Baltimore to Xiangang, China, in a Panamax ves-sel (pre-Canal expansion) costs about $35 per ton; the sameamount o coal, between the same two cities, in a Post-Pan-amax vessel, would cost approximately $25, $10 less perton. Second, grain transported to Asia from the Americangrain belt would cost about $55 per ton in a Panamax ves-

sel, whereas the shipping cost would equal approximately$50 per ton on a Post-Panamax vessel. Alemn said thatthe land bridge optiontransported across the UnitedStates to a West Coast port from the East Coastremainsthe most expensive option; in the example o a ton ograin, this transportation mode would cost $95 per ton.

Continuing in that same vein, Quijano, the Panama Canaladministrator said, the new economies o scale and fast-

er passage between the Americas and Asia will not onlychange maritime routes and cargo logistics, but also willcreate new markets to exploit the bigger ships and deeperports.5 Quijano projected that, as a result o the expan-sion o the Panama Canal, well see Texas ports shippingmore shale gas to Japan, which is moving away from nu-clear power to natural gas. Well see East Coast portsandnew sources in Colombiashipping more coal to China

There will be iron ore from Brazil headed to Asia throughthe Canal, and on and on.

Essence of the Panama Canal Expansion Project

Shortly after the 2006 referendum in Panama, work beganon the expansion and modernization effort$5.25 billionat the time o inception.6 In essence, the project involvesthe construction o two new sets o single-lane locksoneon the Paciic side and another on the Atlantic side o theCanal. The new, concrete lock chambers will be 1,400 feetlong, 180 feet wide and 60 feet deep, while each lock com-plex will stretch for more than a mile and a half, creatingthe largest lift complex in the world.

Each lock will have three chambers and each cham ber wilhave three water reutilization basins. Despite the abun-dant rainfall in Panama, engineers working on the Canalhave been cognizant o the need to conserve water becausethe Canals watershedthe 166-square-mile, man-madeGatun Lakesupplies drinking water to nearly the entirepopulation living in the vicinity o the waterway. Giventhat nearly 2 billion gallons o water are needed to ill thelocks for transiting ships every day, the expansion effort

could have required an additional 2 billion gallons o wa-ter, an enormous strain on the regions water resourcesIn an innovative move based on the locks system on theElbe River in Germany, however, engineers working onthe Panama Canal expansion devised a unique water re-cycling system with the construction o three new waterreutilization basins. These basins cumulatively will se-cure nearly two-thirds o the water from the locks as theyempty, which will be recycled and used for the next vessethat travels through the Canal. With the expansion, thenew lock chambers not only will retain 65 percent more

water than the current locks, but they also will use 7 per-cent less water per transit.

In addition, the expansion project includes two newnavigational channels to link the new locks to exist-ing navigational channels, a measure that will result inexcavating nearly ive miles o new channel. The cur-rent navigational route through Gatun Lake also wil

be deepened by ive feet and widened from the 500-foot


4/12


Figure 2 Panama Canal Expansion Eort rom Atlantic and Pacifc Entrances

Source: Panama Canal Expansion - Diagram o Panama Canal Locks, Popular Mechanics, October 1, 2009.

minimum to 920 feet on straightaways and 1,200 feet onthe turns. In addition, Gatun Lake will be elevated andraised one-and-a-hal feet, generating an additional 550million gallons o water each day for the locks. Uponcompletion, workers on the expansion project will havedredged 130 million cubic meters4,591 million cu-

bic feeto rock and soil, or enough rock and soil to illthe Empire State Building nearly 130 times. The expan-sion effort not only will be suficient to accommodatethe largest Post-Panamax vessel, but it also doubles theCanals capacity. Figure 2 provides a graphical represen-

tation o the expansion project from both the Atlanticand Paciic entrances.

Surge in International Trade

Intertwined with Panamas strong support for the expan-sion o the Canal is the meteoric rise in international tradein the past two decades. Experts quickly are realizing thatU.S. exports are a bright spark in the otherwise relativelyanemic economic recovery. For 15 consecutive quarters

between the second quarter o 2009 and the fourth quartero 2012U.S. exports have expanded and continued progress is expected in this area, generating jobs and economicopportunities for people across the country. The Ameri-can Association o Port Authorities estimates that every$1 billion in exports generates 15,000 jobs.7 A numbero factors have propelled this solid export performanceincluding the low value o the dollar, which raises thecompetitiveness o U.S. products in international marketsand the strategic efforts o U.S. multinational corpora-tions to market items such as aircraft, motor vehicles and

petroleum products.

Table 1 documents the progress o U.S. goods exportsfrom 2008 to 2012; the surge in U.S. goods exports since2010 has been impressive. For the latest full year avail-able, 2012, U.S. goods exports reached an all-time high o$1.54 trillion, an improvement o 4 percent over the $1.48trillion secured in 2011. Texas was the nations top goodsexporter last year and shipped a staggering $265 billion to


5/12

Table 1 2008 - 2012 Total All Merchandise Exports to World (in billions, $USD)

State/Jurisdiction 2008 2009 percent 2010 percent 2011 percent 2012 percent2008 -

2012 %

Alabama 15,879 12,355 -22.2% 15,502 25.5% 17,854 15.2% 19,526 9.4% 23.0%

Alaska 3,542 3,270 -7.7% 4,155 27.0% 5,325 28.2% 4,596 -13.7% 29.8%

Arizona 19,784 14,023 -29.1% 15,636 11.5% 17,793 13.8% 18,357 3.2% -7.2%

Arkansas 5,776 5,267 -8.8% 5,219 -0.9% 5,607 7.4% 7,621 35.9% 31.9%

California 144,806 120,080 -17.1% 143,192 19.2% 159,122 11.1% 161,700 1.6% 11.7%

Colorado 7,713 5,867 -23.9% 6,727 14.6% 7,332 9.0% 8,164 11.3% 5.8%

Connecticut 15,384 13,979 -9.1% 16,056 14.9% 16,212 1.0% 15,866 -2.1% 3.1%Delaware 4,898 4,312 -12.0% 4,966 15.2% 5,510 11.0% 5,157 -6.4% 5.3%

Florida 54,238 46,888 -13.6% 55,365 18.1% 64,904 17.2% 66,398 2.3% 22.4%

Georgia 27,514 23,743 -13.7% 28,950 21.9% 34,776 20.1% 35,892 3.2% 30.5%

Hawaii 960 563 -41.3% 684 21.5% 884 29.2% 726 -17.9% -24.3%

Idaho 5,005 3,877 -22.5% 5,157 33.0% 5,905 14.5% 6,113 3.5% 22.1%

Illinois 53,677 41,626 -22.5% 50,058 20.3% 64,823 29.5% 68,026 4.9% 26.7%

Indiana 26,502 22,907 -13.6% 28,745 25.5% 32,282 12.3% 34,385 6.5% 29.7%

Iowa 12,125 9,042 -25.4% 10,880 20.3% 13,307 22.3% 14,604 9.7% 20.4%

Kansas 12,514 8,917 -28.7% 9,905 11.1% 11,598 17.1% 11,659 0.5% -6.8%

Kentucky 19,121 17,650 -7.7% 19,343 9.6% 20,084 3.8% 22,092 10.0% 15.5%

Louisiana 41,908 32,616 -22.2% 41,356 26.8% 54,976 32.9% 63,156 14.9% 50.7%

Maine 3,016 2,231 -26.0% 3,164 41.8% 3,421 8.1% 3,058 -10.6% 1.4%Maryland 11,383 9,225 -19.0% 10,163 10.2% 10,852 6.8% 11,781 8.6% 3.5%

Massachusetts 28,369 23,593 -16.8% 26,304 11.5% 27,761 5.5% 25,549 -8.0% -9.9%

Michigan 45,136 32,655 -27.7% 44,768 37.1% 51,003 13.9% 56,902 11.6% 26.1%

Minnesota 19,186 15,532 -19.0% 18,904 21.7% 20,319 7.5% 20,565 1.2% 7.2%

Mississippi 7,323 6,316 -13.8% 8,229 30.3% 10,930 32.8% 11,779 7.8% 60.8%

Missouri 12,852 9,522 -25.9% 12,926 35.7% 14,154 9.5% 13,910 -1.7% 8.2%

Montana 1,395 1,053 -24.5% 1,389 31.8% 1,587 14.3% 1,573 -0.9% 12.8%

Nebraska 5,412 4,873 -10.0% 5,820 19.4% 7,582 30.3% 7,449 -1.8% 37.6%

Nevada 6,121 5,672 -7.3% 5,912 4.2% 7,978 34.9% 10,190 27.7% 66.5%

New Hampshire 3,752 3,061 -18.4% 4,367 42.7% 4,297 -1.6% 3,485 -18.9% -7.1%

New Jersey 35,643 27,244 -23.6% 32,154 18.0% 38,115 18.5% 37,035 -2.8% 3.9%

New Mexico 2,783 1,270 -54.4% 1,541 21.4% 2,092 35.7% 2,980 42.5% 7.1%

New York 81,386 58,743 -27.8% 69,696 18.6% 84,888 21.8% 79,189 -6.7% -2.7%North Carolina 25,091 21,793 -13.1% 24,905 14.3% 27,009 8.4% 28,747 6.4% 14.6%

North Dakota 2,772 2,193 -20.9% 2,536 15.7% 3,393 33.8% 4,288 26.4% 54.7%

Ohio 45,628 34,104 -25.3% 41,494 21.7% 46,416 11.9% 48,535 4.6% 6.4%

Oklahoma 5,077 4,415 -13.0% 5,353 21.3% 6,222 16.2% 6,575 5.7% 29.5%

Oregon 19,352 14,907 -23.0% 17,671 18.5% 18,310 3.6% 18,300 -0.1% -5.4%

Pennsylvania 34,649 28,381 -18.1% 34,928 23.1% 41,075 17.6% 38,869 -5.4% 12.2%

Rhode Island 1,974 1,496 -24.3% 1,949 30.3% 2,282 17.1% 2,376 4.1% 20.3%

South Carolina 19,853 16,488 -16.9% 20,329 23.3% 24,697 21.5% 25,247 2.2% 27.2%

South Dakota 1,654 1,011 -38.9% 1,259 24.6% 1,460 16.0% 1,550 6.2% -6.3%

Tennessee 23,238 20,484 -11.8% 25,943 26.6% 29,993 15.6% 31,125 3.8% 33.9%

Texas 192,222 162,995 -15.2% 206,961 27.0% 251,006 21.3% 265,352 5.7% 38.0%

Utah 10,306 10,337 0.3% 13,809 33.6% 19,034 37.8% 18,939 -0.5% 83.8%Vermont 3,697 3,219 -12.9% 4,277 32.9% 4,257 -0.5% 4,306 1.2% 16.5%

Virginia 18,942 15,052 -20.5% 17,163 14.0% 18,089 5.4% 18,239 0.8% -3.7%

Washington 54,498 51,851 -4.9% 53,353 2.9% 64,767 21.4% 75,525 16.6% 38.6%

West Virginia 5,643 4,826 -14.5% 6,449 33.6% 9,034 40.1% 11,362 25.8% 101.3%

Wisconsin 20,570 16,725 -18.7% 19,790 18.3% 22,055 11.4% 23,097 4.7% 12.3%

Wyoming 1,081 926 -14.3% 983 6.2% 1,219 23.9% 1,420 16.6% 31.4%

District of Columbia 1,196 1,091 -8.8% 1,501 37.6% 1,039 -30.8% 2,015 94.0% 68.5%

Puerto Rico 19,961 20,937 4.9% 22,784 8.8% 18,200 -20.1% 18,663 2.5% -6.5%

Virgin Islands 2,747 1,217 -55.7% 1,899 56.0% 2,316 22.0% 870 -62.4% -68.3%

Unallocated 42,188 33,620 -20.3% 45,698 35.9% 45,286 -0.9% 51,572 13.9% 22.2%

United States 1,287,442 1,056,043 -18.0% 1,278,263 21.0% 1,480,432 15.8% 1,546,455 4.5% 20.1%

Source: Ofice o Trade and Industry Information, Manufacturing and Services, International Trade Administration, U.S. Department o Commerce


6/12


all corners o the globe. The Lone Star States 2012 exporttally clearly cemented its reputation as the nations top ex-porter in each o the past ive years. New Mexico had thehighest rate o goods export growth in the nation in 2012,42 percent, while Arkansas had the second highest expan-sion rate at 36 percent. New Mexicos nearly $3 billion ingoods exports in 2012 was striking compared to the $2.1

billion achieved in the previous year.

A review o state goods export data over the 2008 to 2012ive-year period, in terms o growth rates, establishedWest Virginia as the national leader. Not only did theMountain State secure a stunning 101 percent increase ingoods exports between 2008 and 2012$5.6 billion to $11.4

billionbut West Virginia also increased its exports by 26percent between 2011 and 2012, the fourth highest growthrate in the country. West Virginia was the only state thatsecured a triple-digit export increase between 2008 and2012, a further relection o the states strong commitmentto export promotion.

Along with U.S. goods exports, the other important cate-gory in total U.S. exports involves services. In a relectiono the growing inluence o the service sector in the U.S.economy, a review o services exports in 2012 relectsnotable trends as well.* In 2012, services exports totaled$632 billion, an expansion o more than $26 billion from2011. With regard to U.S. services exports, increases werereached in travel and other private services, which includeitems such as business, professional and technical services,insurance services and inancial services. When U.S. goods

and services exports in 2012 are combined, the nation setanother export record, soaring to $2.2 trillion and eclips-ing the 2011 combined total by nearly $93 billion.

Global Exports: Projected to Increase

Given that future export growth will be critical to takefull advantage o the Panama Canal expansion, the fore-cast for the coming years appears to be promising. Myriadeconomic forecasts related to exports and container ship-ments indicate sustained growth throughout this decade.For instance, an October 2012 report released by the Con-

gressional Research Service documents that IHS GlobalInsight Inc., a leading U.S. economic forecasting irm, pro-jected that U.S. exports will reach $1.5 trillion in 2012,**

$1.6 trillion in 2013 and $1.7 trillion in 2014.8 A reportby Global Industry Analysts Inc. in April 2012 forecasted that the global market for maritime containerizationwill reach 731 million TEUs by 2017,9 an impressive in-crease from the 434 million TEUs that transited the top100 ports in the world in 2010.10 The Global Industry An-alysts report noted that growth in the container marketwill be primarily driven by increasing sea trade, devel-

opments in shipping networks and transshipment hubsencouraging investments in port terminal facilities, growing capacity and increased frequency o global maritimefreight transport.

Given the dominant role played by exports in fosteringeconomic growth in the past few years, combined withPresident Obamas pledge in 2010 to focus on export-led growth and double U.S. exports in ive years, there isstrong consensus that this segment o the economy will bea thriving one. In response to this expected surge in tradeshipping professionals assert that the largest injection onew ship capacity in the history o container shipping wiloccur in 2013, with at least 100 vessels with a capacity ex-ceeding 7,500 TEUs being delivered this year alone.11 Infact, by 2015, experts estimate another 700 ships with thecapacity to carry more than 7,500 TEUs and above will bein operation. Four major lines each will operate more than50 ships o this size, with the shipping lines Mrsk andMSC operating more than 100. In addition, MSC is pro-

jected to maintain a leet o more than 50 ships o morethan 12,000 TEUs, all clear indications that the shippingindustry is preparing for a sizable low in trade.

Activity at the Atlantic and Gulf Coast Ports

Coinciding with the activity in Panama related to theexpansion, ports across the Atlantic and Gul Coasts othe United States have seen considerable action. This ac-tivity stems from the fact that these ports are seekingto secure the additional business, potentially billions odollars, that is expected to low to the Atlantic and GulCoast ports as a result o the expansion o the Canal andcontinued growth in world trade. Even though most ex-perts are convinced the massive explosion in trade will

provide ample opportunities for a number o these portsto beneit tremendously, they equally are convinced thatthese ports need to make essential infrastructure en-hancements to accommodate the larger vessels that will

be wending their way to their docks.

A number o factors account for the activity in these At-lantic and Gul Coast ports. For instance, demographersforecast the U.S. population will increase by 32 percent

* U.S. services exports, a rapidly growing sector o both exports andthe U.S. economy, include such categories as royalties and licensefees, travel services and inancial services.

** With the beneit o hindsight, it is now possible to say that thisIHS Global Insight Inc. forecast was accurate. U.S. exports in 2012were, in fact, $1.5 trillion.


7/12


or nearly 100 million people, over the next 30 years,while per capita income is expected to surge by 170 per-cent during the same period.12 The regions expected toexperience the highest population growth are the Southand West, a development that will generate demand forenhanced trade in these regions. In fact, experts calcu-late this drive for increased trade will result in importsexpanding more than fourfold and exports expanding

more than sevenfold by 2030. This growth in trade willheighten the need for the nations maritime assets andrelated multimodal transportation systems to be per-forming at peak capacity, a challenge complicated evenfurther with the onerous infrastructure requirementsto accommodate the larger vessels expected through theexpanded Panama Canal. Port professionals and trade ex-perts are convinced that exports will continue to play anoverwhelmingly inluential role in the economic affairso every state in the country. As Carlos Buqueras, the ex-ecutive director o the Port o Manatee in Florida notedwith regard to trade and the role o ports in facilitatingthis trade: (T)rade stops, the country stops. Its crucialwe maintain our ports.13

U.S.Panama Free Trade Agreement

A corollary to this expected growth in global trade, in-cluding a renewed focus in the United States to promoteour nations exports, is the free trade agreement betweenthe United States and Panama that was signed into U.S. lawon Oct. 21, 2011.14 Panama approved the agreement withthe United States in July 2007. The presence o an agree-ment with Panama is an important boost to bilateral trade

between Panama and the United States, since it often leadsto even further liberalization o trade in goods and servic-es. In the context o the ongoing expansion o the Canal,the path for an even greater movement o cargo is consid-ered a very likely scenario with the free trade agreement.According to the International Trade Administration othe U.S. Department o Commerce, U.S. goods exports toPanama totaled nearly $10 billion in 2012, up more than20 percent from the $8.2 billion exported to Panama in2011.15 Between 2005 and 2012, U.S. goods exports to Pan-ama more than quadrupled, growing from $2.2 billion in

2005 to nearly $10 billion in 2012, making Panama the30th largest export market for the United States in 2012.

Signicant Economic Impact of Ports

Another factor contributing to the increased activity atthese ports is the competition among them to capturean ever-growing share o the trafic that will be com-ing through the Panama Canal. For a number o years,interested parties have analyzed the tremendous eco-

nomic impact lowing from the nations ports. In January2013, the Alabama State Port Authority released a studyconirming the Port o Mobiles role as a critical econom-ic catalyst for the state and its role in creating jobs andgenerating tax revenues. The 2011 iscal year economicimpact study estimated $22.3 billion in total economic val-ue for the state from the cargo and vessel activity at thePort o Mobile.16 Also in January 2013, an economic im-

pact study o the Port o Brownsville, Texas, documentedthe port produced $2 billion in economic activity in thestate, and that the vessel and cargo activity at the portsmarine cargo facilities and ship repair/oil rig maintenanceoperations generated 21,590 jobs.17 O that number, 11,230

jobs directly impact the local and regional economy, whilebusiness revenue related to the handling o marine cargogenerated an estimated $925 million in local economic im-pacts, according to the report.

Similarly, an April 2012 study released by the Selig Cen-ter for Economic Growth at the University o GeorgiasTerry College o Business documented that Georgiasdeepwater ports supported more than 350,000 full- andpart-time jobs across the state, 8.3 percent o total stateemployment. In other words, one o 12 jobs is in some waydependent on the ports.18 A March 2012 study released

jointly by the Ports Association o Louisiana and the Louisiana Department o Transportation and Developmentdocumented that Louisianas port system is an enabler andserves as a launch pad for the states ive major industriesoil and gas, transportation, warehousing, agriculture andmanufacturingall critical parts o the states econom-

ic base.19 This study documented that nearly 73,000 jobsare created and supported by the 30-plus deepwater andshallow-water ports spread across the state, while the es-timated economic impact o irms providing services toports and vessels, and irms located at the different portsand port property, amounted to $19.8 billion. In additionpersonal earnings totaled $3.96 billion, while state andlocal government tax collections from port-related activities totaled $517 million per year.

A report by the South Carolina State Ports Authority

in October 2011 noted that international trade throughSouth Carolina ports facilitated more than 280,000 jobsacross the state in the maritime, transportation, distri-

bution and manufacturing industries, while providingan overall economic impact o $45 billion each year.20

Finally, according to a February 2011 study from theNorth Carolina State University Institute for Trans-portation Research and Education, North Carolinasports contributed approximately $7.5 billion to the


8/12


states economy in relation to goods moving throughthe states ports, supporting more than 65,000 jobs, bothdirectly and indirectly.21 Similar trends are evident atports across the region.

For the region as a whole, indisputably, a thriving port re-sults in tremendous economic activity that generates a rangeo positive outcomes. There is sustained interest in the re-

gions ports to capture as much o the enhanced trade lowingthrough the Canal as a means to generate additional econom-ic activity, not only around the port, but across the state.

Battle of the Ports: East Coast v. West Coast

Also important in accounting for the infrastructure en-hancements at ports along the Gul and East Coasts is thestrong speculation that the expansion o the Panama Ca-nal will lead to these ports advancing at the expense o theWest Coast ports.22 A principal feature o trade statisticsrelating to U.S. ports in the past two decades has been theincreasing dominance o a number o Atlantic Coast andGul Coast ports. In anticipation o the expanded Pana-ma Canal, this has become even more pronounced, with anumber o Atlantic Coast and Gul Coast ports initiatingan assortment o speciic measures to wrest away a great-er portion o the cargoprimarily from Asiadeliveredto West Coast ports.

The ports o Los Angeles and Long Beach have played aninluential role in national cargo trends for decades and,until quite recently, the strategy was to clear the goods ofarriving vessels at these ports and then move the goods by

truck and rail to their inal destinations across the coun-try. Some 40 percent o all container cargo trafic intothe United States still arrives at these two ports. In recentyears, this strategy has undergone a transformation, pre-cipitated by several factors, including labor unrest at theWest Coast ports; the move by shipping companies anddistributors to explore low er cost alternatives; lack o landfor expansion at West Coast ports; and signiicantly low-er rail capacity at these ports. In fact, the strike threats andeventual strikes at the ports o Long Beach and Los Ange-les in the fall o 2012 put all concerned parties on notice

about the potential setbacks to smooth shipping opera-tions as a result o the labor unrest. Consequently, cargovolume arriving at West Coast ports has dropped.

Based on these developments, the emerging consensus isthat the expansion o the Panama Canal will further themovement away from West Coast ports, especially giventhe increasingly larger vessels that will be able to oper-ate through the Canal and call at select Atlantic and Gul

Coast ports. Consequently, these ports have seized theopportunity to secure a greater proportion o the cargovolumes entering and departing the United States.23 Not-withstanding this trend, some analysts are less sanguineabout this movement away from West Coast ports toports in the East and Gul Coasts after the Panama Canalexpansion project is completed.24 According to these an-alysts, the Panama Canal expansion actually raises more

questions than answers such as whether shippers couldgain a viable all-water alternative for transporting prod-ucts from Asia to U.S. Atlantic and Gul Coast ports andwhether there is a boom on the horizon related to thisshift. However, these experts maintain that Panamasdevelopment potential as an American distribution hubcould be the gamechanger that completely reshapes fu-ture shipping trends.

Obama Administrations We Cant Wait Initiative

A number o ports on the Atlantic and Gul Coasts initiat-ed efforts to compete aggressively against each other tosecure a greater share o the increase in global trade re-lated to the expansion o the Panama Canal. Some o theseports received a considerable boost in July 2012, whenas part o the We Cant Wait initiative, the Obamaadministration announced that seven nationally andregionally signiicant infrastructure projects will be expe-dited to help modernize and expand ive major ports inthe United States includingthe Port o Jacksonville, Porto Miami, Port o Savannah, Port o New York and New

Jersey, and Port o Charleston.25 Four o these ive portsare in the Southern region. One o the critical prelimi

nary steps in modernizing and expanding these Southernports involves inalizing the federal feasibility studies thatexamine the costs and beneits o deepening their channedepths. While these studies take an average o 10 years, theexpedited process announced by the Obama administra-tion commits the federal government to inalize the studyyears ahead o projections. In the instances o the portso Jacksonville, Miami, New York and New Jersey, andCharleston, the expedited process will enable these portsto reach a channel depth o 50 feet well ahead o schedule(in the case o Charleston, for instance, the study is expect-

ed to be complete within three years, considerably earlierthan the 10-year average), a critical factor in attractingtrafic transiting the expanded Panama Canal. In Febru-ary 2013, oficials representing six Florida ports expressedfrustration with the pace o the improvements at theirports and pleaded for help from Congress and the Obamaadministration to push the U.S. Army Corps o Engineersto move faster on port improvements implemented in an-ticipation o the Panama Canal expansion.26


9/12


Source: A.P Moeller Mrsk Group, 2011 Service Schedule (as presented in http://www.iwr.usace.army.mil/docs/portswaterways/rpt/June_20_U.S._Port_and_Inland_Waterways_Preparing_for_Post_Panamax_Vessels.pdf)

Figure 3 Possible Direct Route rom Asia to East Coast through the Panama Canal

Atlantic and Gulf Coast Preparations

for the Panama Canal Expansion

Ports on the Atlantic and Gul Coasts are enhancing theirinfrastructure capacities in preparation for the PanamaCanal expansion:

Port of Savannah: The Georgia Ports Authority, whichoversees the administration o the Port o Savannah andthe other ports in the state, embarked on a comprehen-

sive effort to both expand and modernize every aspect othe ports operations. A hallmark o this expansion effortis the Savannah Harbor Expansion Project, a collaboration

between federal and state agencies to deepen the Savan-nah River from 42 feet to 48 feet. This is a $652 milliondeepening project and Governor Nathan Deals proposed2014 iscal year budget included an additional $50 million,for a total state contribution o $231 million toward theproject.27 The governor noted that for every dollar thefederal government spends on the project, the nation willsee $5.50 in beneits via lowered costs o goods brought to

market. The Port o Savannahs record in recent years hasbeen most impressive, accomplishing strong growth inbreakbulk and auto cargoes, alongside record volumes intotal tonnage and container trafic.

Port of Charleston: The South Carolina State PortsAuthoritys major deepwater port is the Port o Charles-ton, another critical port on the East Coast. While NorthAmerican container port volumes were up 2 percent over-

all in 2012, the Port o Charlestons volumes grew by 10percent. In preparation for the Panama Canal expansionand expected routine low o Post-Panamax vessels, thePort o Charleston has focused on its own harbor deepening project. In 2012, this effort was boosted signiicantlywhen the General Assembly moved to fully fund the proj-ects construction phase by setting aside the entire $300million estimated cost.28 This allocation not only wilcover the states 60 percent share, or $180 million o thecost, but it also will fund the federal share o deepening

the Charleston Harbor to 50 feet or greaterfrom thecurrent 45 feeti needed. While the state expects to bereimbursed by the federal government for its $120 millionshare o the deepening project, the state was propelled in-to action by the need to complete the deepening project

by 2018.

Port of New Orleans: Since it was founded in 1718New Orleans has been a focal point for global trade. ThePort o New Orleans is one o the most signiicant in thenation, ranking in the top 10 for cargoes ranging from

imported steel and natural rubber, to plywood and cof-fee. In preparation for the Panama Canal expansion andexpected swell o container cargo into Gul ports, thePort o New Orleans spent $36 million on two new gan-try cranes and a 4.5-acre marshaling yard that expandedits container handling area to 115 acres.29 Port oficialsestimate an additional $478 million in upgradesin-cluding improved breakbulk and container terminalsnew multipurpose gantry cranes, expanded marshalling


10/12


yards and a new road to handle truck traficwill be nec-essary to help boost that capability to 1.5 million TEUsper year, up from the current 640,000 TEUs currentlyhandled annually, by the time the Panama Canal expan-sion is completed.

Port of Virginia: The Virginia Ports Authority, whichowns and operates the Port o Virginia, touts its ability to

handle the required channel depth o 50 feet to 55 feetthe deepest shipping channels on the U.S. East Coastandheight clearanceapproximately 50 feeto the Post-Panamax vessel class that will be more routine after theexpansion.30 The Virginia Ports Authority has been work-ing assiduously for the past six years to prepare for theCanal expansion, including leasing the sizable APMT In-termodal Terminal at Portsmouth, expanding capacity atthe Norfolk International Terminal and enhancing in-frastructure capabilities at Craney Island, a $2.2 billionmulti-phase terminal project. At the APMT IntermodalTerminal, the port operates eight Post-Panamax cranes,

bringing it to a total o 22 container cranes that are Pan-amax-class and larger. The Ports multimodal capabilities,including the double-stack rail lines to Chicago, alsoremain a major attraction. During the 2013 legislative ses-sion, the General Assembly initiated a bipartisan effort torestructure the management o the ports while reining inthe governors ability to lease or sell of operating rights atthe state-run terminals.31

Port of Brownsville: The Port o Brownsville, theonly deepwater port directly on the U.S.-Mexico border,

is a critical linchpin in the movement o goods betweenthe United States and Mexico and other global locations.In anticipation o the extra shipping activity and addedcargo volumes after the Canal expansion, the Port has in-vested $90 million in infrastructure projects, includingmultimodal options.32 Eddie Campirano, port director andCEO, notes that it is imperative the Port o Brownsvillemoves toward deepening its channel depth from the cur-rent 42-foot draft to 50 feet.(E)nlarging the channel isnta luxury; rather, it is a necessity to take full advantage ogrowing cargo activity in the Gul in coming years, not

to mention the Ports prime geographical location on thedoorstep o Latin America, he has said.

Florida Ports: A number o Florida ports have seen alurry o activity to initiate infrastructure enhancementsin preparation for the expansion, a trend underscored bythe release o the states $9.1 billion transportation bud-get proposal for the 2014 iscal year in February 2013.33 Infact, a February 2013 news article referenced an unprece-

dented lood o money being steered to ports to get themprimed for the Panama Canal expansion. The proposed

budget for the upcoming iscal year includes $30.6 mil-lion for the Port o Miami, $26.7 million for the Port oTampa, $19.5 million for the Port o Manatee, and closeto $100 million across the rest o the state. Were leverag-ing whats going to happen with the post-Panama Canaexpansion. Floridas truly going to be the gateway to the

Americas, Florida Transportation Secretary AnanthPrasad recently said in testimony before a Florida HouseTransportation Committee.

Port of Miami : The Port o Miami has focused intense-ly on preparing for the onset o Post-Panamax vesselsin multiple ways. One approach is its harbor deep-ening or dredging project. In August 2012, the Port oMiami and the U.S. Army Corps o Engineers signeda construction agreement permitting the Ports DeepDredge project to go out for bid. The Deep Dredgeseeks to deepen the Ports existing 42-foot channels to

between 50 and 52 feet. This deepening project is ex-pected to cost about $1 billion and will be completedaround the same time as the Panama Canal expansionproject. In October 2012, Florida Governor Rick Scottpledged $112 million in state funds to ensure that thePorts Deep Dredge project remains on schedule.34 Sec-ond, the Port is leading the way in constructing thePortMiami Tunnel, a public-private partnership com-prising the Miami Access Tunnel, Florida Departmento Transportation, Miami-Dade County and the cityo Miami to build two tunnel tubes under Biscayne

Bay linking the Port o Miami with the mainland. Ex-perts maintain the tunnel is critical to the Ports futuregrowth since it will enable trafic to move seamlesslyto and from the Interstate system, while signiicantlyreducing trafic in downtown Miami. The PortMiamiTunnel project is expected to cost $1 billion and, whileconstruction began in May 2010, completion is expect-ed by May 2014. The Port o Miami also is working onredeveloping 80 acres o cargo terminal area, a mea-sure that will generate greater eficiencies in cargoterminal operations. All these efforts are directed at

ensuring that, as one o the closest ports to the PanamaCanal, Miami is well-positioned to capture new tradeopportunities and help transform Florida into a glob-al logistics hub.

Port Everglades: Port Everglades in Broward County al-so is working toward infrastructure improvements inpreparation for the Canals expansion.35 In addition to theconstruction o ive new berths to accommodate the in-


11/12


creased cargo trafic, the Port intends to widen and deepenchannel depth to 50 feet as well as enhance freight rail capa-

bilities. A Port Everglades oficial noted that even thoughthe Port already handles Post-Panamax ships, they must

be lightly loaded, which is ineficient and drives carriersaway to other ports. Hence, Port Everglades oficials arefocused on implementing a range o infrastructure en-hancements to remain competitive with seaports in the

Southeastern area o the United States.

Port of Wilmington: The North Carolina State PortsAuthority operates a number o facilities, including thePort o Wilmington, Port o Morehead City, and inlandterminals in Charlotte and the Piedmont Triad at Greens-

boro. In January 2012, the Ports Authority announced ithad renewed its strategic alliance with the Panama CanalAuthority with the signing o a memorandum o under-standing. This memorandum reafirmed both entitiesdedication to generating new business and promoting anall-water-route. As Carl J. Stewart, Jr., the chairman o theNorth Carolina State Ports Authority Board o Directorsin January 2012 noted, two-thirds o the cargo handled atNorth Carolinas ports transits through the Panama Canaland we look forward to the next ive years o our renewedpartnership, especially the eagerly anticipated completiono the Panama Canal expansion.36

Port of Houston: In March 2012, the Port o Houstonannounced the introduction o a new all-water serviceconnecting Asia and Houston via the Panama Canal. Ves-sels from COSCO Container Lines Americas will travel

between Shanghai and Houstontransiting the Canalin what has been termed the Gul o Mexico Expressservice.37 The Gul o Mexico Express becomes the irstdirect container liner service from China to call at thePort o Houston in nearly 10 years and is a strong indica-tion o the thriving shipping activity forecasted betweenAsia and the Gul Coast, via the Canal, in coming years.To prepare for the inlow o larger vessels and increasedcargo resulting after the expansion, along with the ex-pected future population growth in the region, the Port oHouston has a strategic plan to use its natural advantages

and enhance its capac ities. These plans include buildingirst-class container facilities at both the Bayport Ter-minal and the Barbours Cut Terminal; rejuvenating thePorts general cargo facilities and busi ness practices whileeficiently accommodating a diverse cargo portfolio;maintaining and improving the Port o Houstons shipchannelcurrently at 45 feet deep and 530 feet wideand its tributaries to meet current and future navigationneeds; leveraging the local and regional transportation

systems and expanding the footprint o the Ports logis-tics links, including roads, rail and barges; heighteningthe value and function o the Ports varied real estateassets; and optimizing the Ports inancial position in re-sponse to marketplace and business demands. In terms oinancial outlays for these projects, in 2013, the Port willseek approval for $220 million in capital improvementprojects, o which approximately $142 million will be al-

located to the Ports container terminals for continuingdevelopment o Bayport and modernization at BarboursCut.38 In addition, about $9 million will be reserved formaintenance dredging and related improvements, withthe remaining 2013 capital budget deployed for projectsat the general cargo and bulk terminals in the TurningBasin area and port security.

Conclusion

Experts are optimistic that the U.S. exports market wilcontinue its current growth and increase substantiallyin the coming years once the economic situation in Eu-rope and Asia stabilizes and improves. U.S. global trade isprojected to lourish in the coming years with the com-pletion o the Panama Canal expansion, a critical link inthe transportation o goods to and from the United Statesplaying a dominant role in promoting these trade linksThe potential for additional cargo being ferried to Atlan-tic and Gul Coast ports and away from West Coast portshas resulted in a lurry o activity in a number o South-ern ports as they prepare for both the expansion in cargovolume and vessel size.Port oficials and policymakers donot view the cargo expected to arrive at Atlantic and Gul

Coast ports as a zero-sum game and are conident that theincrease in cargo volumes with the Panama Canal expan-sion will be substantial. In turn, this increase will provideincredible opportunities for a number o ports.

Policymakers at every level o government realize thetremendous economic prospects, not only in the manu-facturing o export items, but also in the activities o theports and related multimodal transportation solutions. Asa result, important infrastructure enhancements are un-derway in a number o Southern ports given the increased

anticipation that an even greater portion o future U.S. ex-ports and imports will transit through a Southern port. Infact, it is impressive that policymakers at every level ogovernmentfederal, state and localalong with part-ners in the private sector, are working collaboratively toinitiate infrastructure improvements at the regions portsthat not only prepare for the onset o Post-Panamax ves-sels, but also will enhance the economic potential o theirindividual cities, states and beyond.


12/12

THE SOUTHERN OFFICE OF THE COUNCIL OF STATE GOVERNMENTSPO Box 98129 | Atlanta, Georgia 30359

h 4 4/6 66 | f 4 4/6 4 6 | l l

SERVING THE SOUTH

Endnotes1. The Canal Gets Bigger, and U.S. Ports are Ready, Business Facilities, April 1, 2011.2. U.S. Port and Inland Waterways Modernization: Preparing for Post-Panamax Vessels, U.S. Army Corps o Engineers, Institute for Water Re

sources (IWR), June 20, 2012.3. Quijano Prepares for New Job as Panama Canal Authority Administrator, The Journal of Commerce, May 28, 2012.4. Presentation by Mr. Alemn Zubieta, Alberto, former administrator and CEO o the Panama Canal Authority at the Southern Governors Asso

ciation Annual Meeting, August 10, 2012.5. Expanded Panama Canal Sparks Race To Be Ready For Bigger Cargo Ships, The Washington Post, January 12, 2013.6. Information related to the technical speciications o the Panama Canal expansion is extracted from: Reagan, Brad. The Panama Canals Ulti

mate Upgrade, Popular Mechanics, October 2009.7. Nagle, Kurt, President and CEO, American Association o Port Authorities (AAPA), Freight Policy Across All Modes, November 15, 2012

http://www.waterwayscouncil.org/Presentations/2012FallSymposium/Nagle.pdf.8. U.S. International Trade: Trends and Forecasts, Congressional Research Service, October 19, 2012.9. Maritime Containerization: A Global Strategic Business Report, Global Industry Analysts, Inc., April 9, 2012.10. World Port Rankings (2010), American Association o Port Authorities, http://www.aapa-ports.org/Industry/content.cfm?ItemNumber=900&navI

emNumber=551.11. Newsome, James I. III, President and CEO, South Carolina Ports Authority, State o the Port 2012, October 25, 2012, http://www.scspa.com/2012_

State_of_the_Port_Address.pdf.12. U.S. Port and Inland Waterways Modernization: Preparing for Post-Panamax Vessels, ibid.13. Florida Port Oficials, Lawmakers Blame Corps o Engineers for Delayed Improvements, The [San Luis Obispo, California] Tribune, February

14, 2013.14. U.S.- Panama Trade Promotion Agreement, The Ofice o the U.S. Trade Representative (USTR), Washington, D.C., http://www.ustr.gov/

trade-agreements/free-trade-agreements/panama-tpa.15. U.S. exports to Panama in 2012, http://tse.export.gov/TSE/TSEhome.aspx.16. Port Authority Economic Catalyst For Alabama New Study Afirms Jobs and Tax Impacts, News Release, Alabama State Ports Authority, Jan

uary 17, 2013, http://www.asdd.com/pdf/011713_ASPA_Economic_Catalyst.pdf.17. Port o Brownsville Report Comes Ahead o Legislative Visit, The [Rio Grande Valley, Texas] Monitor, January 23, 2013.18. http://www.terry.uga.edu/selig/docs/ga_ports_study_2011.pdf19. Richardson, Dr. James A., The Economic Impact o the Ports o Louisiana Prepared for the Ports Association o Louisiana, March 2012, http://

www.portsb.com/documents/2012%20Final%20Report.pdf.20. Fact Sheet, News Release, South Carolina State Ports Authority, October 12, 2011, http://www.port-of-charleston.com/About/statistics/FACT_

SHEET_FY11.pdf.21. Economic Contribution o the North Carolina Ports, North Carolina State Ports Authority, February 9, 2011, http://www.ncports.com/elements

old/useriles/Economic%20Contribution%20Final%20Report%20ITRE.pdf.22. For a more expansive description o this trend, see CanagaRetna, Sujit M., The Panama Canal Expansion and SLC State Ports, Special Series

Report o The Council o State Governments Southern Ofice, the Southern Legislative Conference, June 2010, pages 8-16.

23. This potential trend has been highlighted in other publications as well. See Eastern Port Trafic Growth Will Accelerate, North American PorAnalysis, August 2012, http://www.colliers.com/en-us/~/media/iles/marketresearch/unitedstates/colliers_portreport_2012q2_inal.ashx.

24. OReilly, Joseph, Panama Canal: More Questions Than Answers, Inbound Logistics, November 2012.25. We Cant Wait: Obama Administration Announces 5 Major Port Projects to Be Expedited, Ofice o the Press Secretary The White House

July 19, 2012, www.whitehouse.gov.26. Florida Port Oficials, The [San Luis Obispo, California] Tribune.27. Focus on Foundations that Strengthen Georgia, Governor Nathan Deals 2013 State o the State Address, January 17, 2013, http://gov.georgia

gov/press-releases/2013-01-17/deal-focus-foundations-strengthen-georgia.28. Newsome, State o the Port 2012.29. Port o New Orleans Declares Its Ready for More Panama Canal Cargo, New Orleans City Business, October 9, 2012.30. The Canal Gets Bigger, and U.S. Ports are Ready, Business Facilities.31. Dueling Bills Aim to Restructure State Ports, The [Hampton Roads, Virginia] Daily Press, January 15, 2013.32. The Canal Gets Bigger, and U.S. Ports are Ready, Business Facilities.

33. More State Spending On Roads, Ports, The Miami Herald, February 19, 2013.34. Floridas Ports Positioned For Panama Canal Expansion, Logistics Management, October 19, 2012, http://www.logisticsmgmt.com/articleloridas_ports_positioned_for_panama_Canal_expansion/.

35. Ibid.36. Panama Canal Authority and NC State Ports Authority Renew Partnership, Press Release, North Carolina State Ports Authority, Januray 26

2012, http://www.ncports.com/news/news-releases/panama-Canal-authority-and-nc-state-ports-authority-renew-partnership/.37. Edmonds, James T., Chairman, Houston Port Commission, 2012 State o the Port to the Greater Houston Partnership, October 31, 2012, http://

www.portohouston.com/static/gen/about-us/State_of_the_port/PHA-SOTP-transcript-2012.pdf.38. Capital Improvement Projects, Port o Houston, http://www.portohouston.com/business-development/capital-improvement-projects/.

2013 update on the panama canal expansion and ports in the atlantic and gulf coast states

Documents