Major supply chain upgrade breaks ground at Port of Long Beach, backed by historic state and federal investments

The upgrade comes as the Port of Long Beach announced this week that last month was their strongest June on record. According to the Port, operators moved 41% more goods than the same month last year. Similarly, the Port of Los Angeles posted strong June numbers, and is 14% ahead of the previous year at the year’s halfway point. 

“Today, work starts on a rail network that triples cargo volume, keeps costs down, and reduces pollution – and it’s all because of the historic funding made possible by the Biden-Harris Administration,” said U.S. Transportation Secretary Pete Buttigieg. “Through projects like America’s Green Gateway and the hundreds of other supply chain improvements we’re making across the country, we’re making our supply chains more robust and resilient in the face of any potential future disruptions.”

By the numbers

$228 million – state investments in the Pier B On-Dock Rail Support Facility, helping lay the groundwork for more than $300 million in federal grants from the Bipartisan Infrastructure Law.
146 million – estimated truck miles traveled that will be eliminated annually once the facility is completed.
4.7 million – twenty-foot equivalent units (TEUs) that the new facility will be able to handle annually, more than triple the current volume of on-dock rail cargo.
171 – size in acres of the new facility, more than double the size of the existing railyard.
30 – percent of America’s containerized freight that moves through the San Pedro Bay ports complex (Los Angeles and Long Beach).

How we got here

Last July, Governor Newsom announced the awards for the $1.2 billion Port and Freight Infrastructure Program, with the Pier B On-Dock Rail project receiving the largest grant. The unprecedented investments were a direct result of the executive order Governor Newsom issued in October 2021 that called on state agencies to develop longer term budget proposals that support port operations and goods movement, building off the successful short-term actions by the state to address supply chain congestion. 

Following the historic state investments, the Port of Long Beach has received another $336 million in federal grants from the Bipartisan Infrastructure Law over the past year.

Find more projects building California’s future at Build.ca.gov.