Maersk extends lease at Port of NY and NJ by 33 years

COPENHAGEN : The Danish shipping powerhouse A.P. Moller – Maersk said it has agreed to extend the lease on its APM Terminals Elizabeth facility at the Port of New York and New Jersey by a period of 33 years, for a deal that will reach until December, 2062

The long-term deal will pave the way for major infrastructure investments which will enhance capacity and transport velocity, create jobs, and strengthen the U.S. economy, Maersk said.

The proposed deal is still subject to a vote by Port Authority Board of Commissioners, currently scheduled for March 27.

Maersk’s APM Terminals Elizabeth facility currently handles over 25% of the annual container throughput in the port complex, supported by more than 1,100 members of the International Longshoremen’s Association (ILA). Throughout the previous lease—which was originally set to expire in 2029—APM Terminals said it had invested in infrastructure and equipment, including a recent additional investment of $200 million to modernize the terminal.

Looking to the future, APM Terminals said it envisions a larger, more efficient container terminal. Planned upgrades include the optimization of the terminal layout, electrification of container handling equipment, and future-proofing container berths. These efforts will support the export of goods to foreign markets, contributing to the local and national economy, and creating numerous job opportunities to support the growth of the local community.

“This lease extension secures transformative infrastructure and capacity enhancements at the second-largest container terminal in the East Coast’s busiest port,” Port Authority Executive Director Rick Cotton said in a release. “These commitments will enable the Port of New York and New Jersey to move more goods, create more jobs, and further cement its role as an essential driver of our region’s economy and our nation’s supply chain.