Port of Los Angeles (Port of LA) is set to expand its on-dock rail capacity and improve the gateway's emissions with the newly approved Fenix Marine Terminal improvement project.

North America's busiest gateway said the Los Angeles Harbor Commission has approved a lease amendment that finalizes plans for a US$52 million infrastructure improvement project to significantly improve the on-dock rail capacity and reduce overall emissions at the Port of Los Angeles Pier 300 terminal operated by Fenix Marine Services.

Construction is expected to begin next year.

Port of LA said this project enhances cargo capacity and efficiency while improving the sustainability of port operations

"This project enhances cargo capacity and efficiency while improving the sustainability of port operations," said Los Angeles harbour commission president Lucille Roybal-Allard.

"It's yet another step forward toward both our productivity and clean air goals," she added.

Port of Angeles executive director Gene Seroka noted that fewer transfers of cargo result in cleaner operations and more fluidity on the port's container terminals.

"This project will make us more competitive and add to our ability to pursue more discretionary cargo headed for the interior of the United States," Seroka said.

The project will add five loading/unloading tracks in the intermodal yard at the Pier 300 terminal.

The improvement will increase on-dock railyard capacity, enabling more cargo to be loaded directly onto trains via the on-dock railyard within the terminal.

Port of LA noted that rail is the most energy and fuel-efficient means of long-haul freight movement within the continental US.

Other improvements involved in the project include grading and paving, fire protection, electrical improvements, striping and signage, and additional storm drain design elements for Low Impact Development compliance.

Grant funding for the project includes approximately US$18 million from the US Department of Transportation Maritime Administration and US$19 million from California's Trade Corridor Enhancement Program. The Port of Los Angeles will provide the balance of the funding.  

In January 2022, CMA CGM reacquired 100% of the Fenix Marine Services (FMS) container terminal in the Port of Los Angeles.

One of the largest terminals in the US in one of the country's most strategic gateways, FMS' strategic deep-water location and first-class infrastructure are the foundation of the terminal's ongoing development and investment program.

George Goldman, president & CEO of CMA CGM (America), said, "This investment ensures that there is adequate on-dock intermodal capacity to accommodate future volume growth, enabling POLA and FMS to further compete for discretionary cargo in an environmentally and community-responsible way."