Noel Hacegaba emphasizes rail connectivity's role in capturing discretionary cargo at Long Beach port, enhancing competitiveness with other ports.
Noel Hacegaba, the incoming CEO of the Port of Long Beach, has emphasized that expanding rail connectivity will be crucial for capturing more discretionary cargo, as reported by New York's Journal of Commerce.
Currently serving as chief operating officer, Mr. Hacegaba will succeed Mario Cordero as CEO on January 1. He stated that ports that effectively manage inland point intermodal freight will dominate Asia-US trade, asserting that "rail is the key to our growth."
The Port of Long Beach faces competition from both west and east coast ports for Asia-origin cargo destined for inland hubs such as Dallas, Chicago, and Atlanta. The Pier B on-dock rail facility, which has been under construction since 2024, is expected to reduce ship-to-train transfer times from nearly four days to less than 24 hours upon its completion in 2032.
Over the next decade, the port plans to invest $2 billion of its $3.2 billion capital program into rail infrastructure. According to the Pacific Merchant Shipping Association, containers moving by rail in November averaged a dwell time of 3.73 days at the Los Angeles-Long Beach terminals.
Currently, two-thirds of Long Beach's cargo is transported east by rail. While west coast ports benefit from faster transpacific transit, production shifts to Southeast Asia and the Indian subcontinent favor east coast gateways. Mr. Hacegaba noted that inland destinations remain competitive for west coast ports that have robust rail capacity.
The Pier B facility will expand from 82 acres to 171 acres, tripling on-dock rail capacity from 1.5 million TEUs to 4.7 million TEUs. The upgraded facilities will include locomotive servicing and train staging for units up to 10,000 feet long.
Mr. Hacegaba also pointed out BNSF's proposed $1.5 billion Barstow International Gateway as a complementary inland hub. He reiterated that enhancing inland rail connectivity is essential for increasing discretionary cargo and improving access for U.S. importers and exporters.