U.S. Regulator Approves Alliance Between Ports of Seattle and Tacoma

The U.S. Federal Maritime Commission (FMC) has voted to unanimously to permit an alliance between the ports of Tacoma and Seattle that’s to grow to be efficient as scheduled on Thursday, July 23, 2015.

The Commission’s choice is predicated on a willpower that the settlement isn’t doubtless, by a discount in competitors, to supply an unreasonable enhance in transportation price or an unreasonable discount in transportation service.

The alliance, identified Northwest Seaport Alliance, authorizes the 2 ports to satisfy, focus on, and attain settlement on the administration, use and operation of their marine cargo enterprise, together with joint enterprise planning and advertising and marketing to additional develop infrastructure and enhance productiveness. The settlement authorizes institution of a Port Development Authority (PDA), efficient August 1, 2015, to advertise and help financial improvement of the Alliance’s marine cargo operations. The PDA will deal with unified enterprise retention and recruitment; coordinated enhancement of the worth of marine cargo properties; improved intermodal rail service; improved freight capacities; the final promotion of maritime financial improvement; and different associated Port enterprise exercise.

The Alliance represents an effort by two ports which have confronted challenges in regional enterprise improvement and plan to beat these challenges by coordinating capital investments as a way to improve services as a way to appeal to bigger vessels. The Alliance’s deal with upgrading its terminal services and rail connections is essential to furthering its aggressive place, the FMC stated.

FMC Chairman Cordero commented, “I would like to express my support for the Northwest Seaport Alliance which brings together neighboring ports to coordinate their import and export functions that provide a foundation for our Nation’s foreign oceanborne trade. This Alliance would become the third-largest trade gateway in North America, behind the Ports of Los Angeles and Long Beach and the Port of New York/New Jersey. The Pacific Northwest is a key region for inbound and outbound United States cargo, moving cargo not only for the regional trade, but also cargo headed to destinations throughout the entire U.S. Midwest, and this Alliance will help the region remain competitive into the future.”