Governor Hochul Announces Major Private Investment in Staten Island Shipping Terminal Generating More Than 300 Jobs and Significant Infrastructure Upgrades

Governor Kathy Hochul and the Port Authority of New York and New Jersey today announced a substantial new investment to expand and upgrade the Howland Hook Marine Terminal on Staten Island, creating more than 300 jobs and preserving this site as a key economic generator for Staten Island. The projected investment of $200-$300 million – the largest in the facility’s history – was secured through an amended lease agreement between the Port Authority and the facility’s new operator, global shipping and logistics company CMA CGM. The lease, now running through 2047, will bring capacity enhancements, infrastructure improvements, and sustainability upgrades, allowing the facility to further build on its rich maritime history, as well as its legacy of economic development and substantial job opportunities for Staten Island.

“This project is critical for the economic future of Staten Island, bringing good-paying jobs and new investments to help this community thrive,” Governor Hochul said. “The private investments we are announcing today will increase this port’s capacity by 50 percent, ensuring it will be a key economic driver for Staten Island and our entire State for decades to come.”

As part of the amended agreement, CMA CGM will pay increased rent based on container throughput, subject to a minimum annual guarantee, and will share revenue from excess container storage. Additionally, CMA CGM will assume full responsibility for maintaining and rebuilding wharf and berth structures, as well as increasing capacity to meet demand.

CMA CGM has committed to contracting goals for minority-owned, women-owned, and service-disabled veteran-owned businesses, and to maximizing the use of locally-owned businesses, benefitting Staten Island residents and businesses.

The agreement also aligns the Howland Hook Marine Terminal’s operations with the ambitious climate and sustainability goals set out by Governor Hochul and the Port Authority. Specifically, CMA CGM has committed to the Port Authority’s goal of achieving net-zero greenhouse gas emissions by 2050, including upgrading to zero-emissions material handling equipment and promoting renewable energy throughout the facility.

In addition, CMA CGM will collaborate with the Port Authority around priorities such as safety and security, innovation, customer experience, key performance standards, and enhanced reporting on terminal activities.

Port Authority Chairman Kevin O’Toole said, “Business is booming at the Port of New York and New Jersey, and this amended lease agreement at our Staten Island terminal will ensure that this area and the community reap the benefits of an energetic and fully mobilized port facility. A renovated, reenergized Howland Hook means more capacity, more activity, and more economic growth for the region.”

Port Authority Executive Director Rick Cotton said, “Our shipping terminals already set the highest standard for efficiency and reliability, bringing in critical goods for consumers and businesses across the nation. Helping Howland Hook reach its full potential will put us on a stronger footing to keep the supply chain firing on all cylinders while growing Staten Island’s economy.”

State Senator Jessica Scarcella-Spanton said, “Howland Hook Marine Terminal has been an essential part of Staten Island commerce for decades. This upgrade is a win—win for residents, labor, and economic viability of Staten Island. I’m looking forward to hundreds of more jobs coming to the district.”

Staten Island Borough President Vito Fossella said, “We are pleased that our efforts working with the Staten Island Economic Development Corporation and Port Authority to advocate for proper support for Howland Hook Marine Terminal have paid off. This $200 million investment by CMA CGM will continue to allow Howland Hook Marine Terminal to be a hub of commerce and deliver goods and services throughout Staten Island and the rest of the world. This is good news for our local economy, as investing in this container port not only provides good paying jobs for Howland Hook, but also has the ripple effect of supporting businesses and jobs across the island.”

Councilmember Kamillah Hanks said, “Thank you to Governor Kathy Hochul for championing this incredible win for Staten Island. These private investments will bring good paying union jobs and long-term economic growth to Staten Island, with a focus on local hiring and minority and women owned businesses. Howland Hook will now be in a position to be an economic driver for Staten Island and the region for years to come.”

Peter Levesque, President and CEO of CMA CGM Americas LLC said, “We are very pleased to reach this agreement with the state of New York and the Port Authority, which will help further advance the region’s standing as a critical entry point for goods bound for the Eastern and Midwestern United States. By investing in this critical infrastructure and delivering on our mission to provide the best transportation solutions available, CMA CGM will give U.S. companies the opportunity to assume greater control over their supply chains and provide additional end-to-end solutions to their customers.”

The announcement follows the Port Authority Board of Commissioners’ approval of an amended lease agreement with CMA CGM, which assumed operational control of the Howland Hook Marine Terminal following CMA CGM’s acquisition of Global Container Terminals’ United States assets in New York and New Jersey on August 31, 2023. The amended lease also has been extended from 2029 to 2047, cementing Governor Hochul’s and the Port Authority’s commitment to the long-term growth and success of the shipping facility that is part of Staten Island’s storied maritime history and one of the borough’s vital economic engines.

The projected $200-$300 million commitment from CMA CGM, the world’s third-largest ocean carrier, to invest in the terminal facilities marks the biggest investment in Howland Hook’s history. It will fund reconstruction and rehabilitation of wharves and ship berths, as well as upgrades to cargo handling equipment and expansion of yard capacity. CMA CGM has committed to boosting the facility’s capacity by 50 percent over the next seven years, allowing it to handle up to 750,000 cargo lifts each year. The capacity enhancements will enable Howland Hook to remain competitive with cargo demand forecasted to surge in the coming decades, keeping goods flowing and prices manageable for consumers.

The Port of New York and New Jersey is the busiest and largest seaport on the East Coast and was the nation's busiest shipping port during July 2023. Throughout the pandemic, the Port of New York and New Jersey remained operational and fluid as global supply chain issues challenged other U.S. ports, allowing the New York-New Jersey port to become the busiest or second-busiest port in the country over the past few years.

CMA CGM’s investment will support approximately 300 construction jobs, with a pledge from CMA CGM to prioritize Governor Hochul’s and the Port Authority’s goals of utilizing local and minority and women-owned businesses whenever possible. Once complete, the increased activity will support approximately 80 additional on-site jobs, most of them through the International Longshoremen’s Association union, with a continued commitment to hire locally.

CMA CGM is also expected to leverage Howland Hook’s longtime ties to SUNY Maritime College in the Bronx, which has partnered with the facility for workforce training, research, and development.

Howland Hook will continue to benefit from ExpressRail, the Port Authority’s on-dock intermodal network connecting the Port of New York and New Jersey with major inland markets via two Class One railroad partners, CSX and Norfolk Southern. The system enables a sustainable mode of transport to the Midwest, New England, and Eastern Canada, delivering goods to major distribution hubs such as Chicago in under 48 hours.