A New Horizon for Oregon Trade: Port of Portland Secures Landmark Shipping Deal

PORTLAND, Ore. — The Port of Portland is buzzing with renewed optimism following the unanimous approval of a pivotal deal that promises to restore regular container shipping service to Terminal 6. This strategic move, embraced by the Port of Portland Commission, is anticipated to infuse new life into the region's economy, reconnecting local businesses with global markets.

The eagerly awaited agreement, finalized on Thursday, sees the Port partnering with Swire Shipping, a distinguished international logistics firm headquartered in Singapore.

Beginning in February, Swire Shipping will initiate a regular monthly service from Terminal 6, establishing vital connections for containers bound for destinations across Asia, the South Pacific, and North America. “We are very happy,” exclaimed Keith Leavitt, Chief Commercial Officer for the Port of Portland, underscoring the collective relief and satisfaction over this significant achievement.

“This is what we wanted to do.”

Leavitt also expressed the Port’s ambitious long-term vision, hoping to gradually expand the service from a monthly schedule to bi-monthly, and eventually to a robust weekly operation, further solidifying Portland's position as a key trade hub.

This re-establishment of regular service marks a critical turning point.

Terminal 6 has largely operated without consistent container shipping since 2017, when its previous operator, International Container Terminal Services Inc. (ICTSI), departed amidst a protracted labor dispute with the International Longshore and Warehouse Union (ILWU). The intervening years saw only sporadic, on-demand container services, proving insufficient for the numerous businesses dependent on predictable and reliable global supply chains.

“It will give the business community some certainty and some reliability in terms of their supply chain,” Leavitt emphasized.

“It gives them an option in terms of how to get their product to market. It’s an important option that they really haven’t had in a significant way for the last five or six years.”

The path to this deal was not swift, requiring nearly two years of diligent negotiations with multiple international shipping companies before securing the commitment from Swire.

The monthly service is projected to handle between 5,000 and 6,000 containers annually, forging crucial links for Portland's exports and imports.

Significantly, about 25% of the containers shipped out of Portland are expected to be agricultural exports, offering a much-needed boost to Oregon’s vital farming sector.

The remaining 75% will primarily consist of imports, catering to the diverse needs of regional consumers and industries.

Beyond its trade implications, the service is also poised to generate direct economic benefits, supporting approximately 30 jobs at the Port and contributing an estimated $1 million in annual revenue.

This revenue is crucial, as it will help to offset a portion of Terminal 6’s substantial $25 million annual operating costs.

Port of Portland Commissioner Katie Larsell highlighted the perseverance behind this success: “The commission and staff have worked tirelessly over many years to bring regular container service back to Portland and we have done so in a way that provides value for our region’s businesses, particularly agricultural exporters.” She added, “We look forward to working with Swire Shipping as we rebuild this critical service for Oregon and the entire Pacific Northwest,” signaling a promising future for regional trade and logistics.