SupplyChainBrain reports; analyst insight; A.P. Moller-Maersk (APM); has signed an agreement to extend its lease at the Port of New York and New Jersey for its terminal in Elizabeth, New Jersey for an additional 33 years. According to a release from APM, the Elizabeth terminal handles more than 25 percent of the port complex's annual container capacity — and is the company's largest terminal on the East Coast. The terminal also offers the largest reefer capacity at the Port of New York and New Jersey — equipped with super post-Panamax ship-shore cranes capable of handling vessels up to 23 containers wide on-deck. APM Terminals and the Port Authority are the primary partners.
From a supply chain perspective, A.P. Moller-Maersk, headquartered in Copenhagen, Denmark, with CEO Vincent Clerc, and founded in 1904 by Arnold Peter Møller, provides container shipping, logistics, terminal operations and tanker services globally. APM Terminals, based in The Hague, Netherlands, with CEO Keith Svendsen, operates more than 70 port terminals across 60+ countries worldwide. Maersk's integrator strategy combines container shipping + land transportation + air freight + contract logistics into a unified single-point-to-delivery offering — LF Logistics 2022 acquisition, Pilot Freight 2022 acquisition, and Senator International 2022 acquisition are the major recent consolidations. Maersk's principal container shipping competitors include MSC (Mediterranean Shipping Company; Chairman Diego Apont; Geneva), CMA CGM (CEO Rodolphe Saadé; Marseille), COSCO Shipping (Chairman Wan Min; Shanghai), Hapag-Lloyd (CEO Rolf Habben Jansen; Hamburg), ONE (Ocean Network Express), Evergreen Marine, HMM, Yang Ming, and Zim, which are the principal ecosystem players.
From a supply chain perspective, the Port Authority of New York and New Jersey, with Port Director Bethann Rooney, was established in 1921 as the Port of New York Authority, with its primary jurisdiction being the New York-New Jersey port complex, which serves as the principal gateway on the U.S. East Coast. The port complex terminals include (1) APM Terminals Elizabeth (Maersk), (2) Maher Terminals (owned by Macquarie), (3) Port Newark Container Terminal (PNCT; Ports America and Terminal Investment Limited (TIL; MSC)-owned), (4) GCT New York (Global Container Terminals), (5) GCT Bayonne, and (6) Red Hook Container Terminal as principal terminals. Other major U.S. East Coast port terminal operators include Ports America (CEO Mark Montgomery; owned by OMERS Infrastructure), SSA Marine (owned by Carrix; Goldman Sachs), ITS (International Transportation Service; owned by K Line), DP World, Yilport (Yıldırım Holding; Türkiye), and HHLA (Hamburger Hafen und Logistik AG; MSC-owned) as principal terminal operators.
From a supply chain perspective, the primary U.S. container port capacities (on a TEU basis) include (1) Port of Los Angeles (10.3M TEU 2024 — Gene Seroka), (2) Port of Long Beach (9.6M TEU 2024 — Mario Cordero), (3) Port of New York/New Jersey (~7.7M TEU), (4) Port of Savannah (~5.4M TEU — Georgia Ports Authority), (5) Port of Houston (~4M TEU), (6) Port of Norfolk (Virginia International Terminals), (7) Port of Charleston (SC Ports Authority), (8) Northwest Seaport Alliance (Seattle/Tacoma), (9) Port of Oakland, and (10) Port of Miami as the principal U.S. major ports. The American Association of Port Authorities (AAPA; CEO Cary Davis) and the National Association of Waterfront Employers (NAWE) are the principal U.S. port sector organizations. The Federal Maritime Commission (FMC; Chairman Louis Sola) and the U.S. Maritime Administration (MARAD) are the principal U.S. federal maritime regulatory authorities. In conclusion, Maersk's extension of the Elizabeth lease fundamentally reaffirms U.S. East Coast terminal investments globally — and suggests that East Coast capacity strategy and front-loading alternate routing lanes remain a principal strategic priority for supply chain managers.
Key Takeaways:
1. Maersk extends its lease on the Elizabeth, NJ terminal for an additional 33 years.
2. Handles 25 percent of the port complex container capacity — the largest on the East Coast.
3. Super post-Panamax cranes handle vessels up to 23 containers wide.
4. Port of NY/NJ is the largest container port on the U.S. East Coast.
5. APM Terminals, Maher, PNCT, and GCT are principal port terminal operators.
