Tacoma Port $135M Terminal Expansion to Boost Container Capacity

Washington United Terminals at the Port of Tacoma is undertaking a substantial $135 million infrastructure modernization program that will meaningfully expand its container handling capacity. The terminal operator, HMM (Hyundai Merchant Marine), has contracted with HD Hyundai Samho to replace aging equipment and add new capacity, increasing annual throughput by nearly 50% from 590,000 to 880,000 TEUs. This multi-year investment reflects growing demand for West Coast container handling and positions the terminal to compete more aggressively for larger ship calls.

For supply chain professionals, this expansion has dual significance. First, it signals confidence in sustained container volume growth on US-Asia trade lanes despite recent market volatility. Second, the project demonstrates how regional ports are investing heavily to retain market share and accommodate increasingly large containerships.

The completion timeline—equipment delivery in 2028 and full project completion by 2030—means capacity constraints at Tacoma should ease significantly, potentially benefiting shippers who have faced congestion-related delays. The on-dock rail connectivity at WUT creates additional strategic value by enabling direct inland logistics, particularly for shippers serving the Pacific Northwest and Mountain West regions. This infrastructure advantage, combined with expanded capacity, could accelerate modal shift from truck to rail for longer-distance corridors and provide competitive alternatives to Southern California ports.