The money is intended to speed up delivery and improve conditions long-term.
For months now, numerous major shipping ports around the United States have experienced severe bottlenecks, with ships idling out at sea as they wait for their turn to dock and unload. This problem has been attributed to a variety of factors, from a lack of workers to COVID cases, but whatever the case, it’s a major contributing factor to the country’s ongoing supply chain problems. In an effort to assuage these concerns, US President Joe Biden has deployed a $450 million package to US ports to get things moving again.
The money, which was earmarked in the Bipartisan Infrastructure Law, will be offered to independently-owned ports around the country to pay for various beneficial projects. Port owners will need to apply for access to the money, outlining precisely what they intend to use it for, with eligible projects including things like expanding their ports, constructing new piers and rail yards, and more.
“At a foundational level, all of the projects to be chosen must improve the movement of goods,” a senior Biden administration official explained in a public statement. Officials are hoping that this money will both speed up shipping in the short term, as well as improve the US’ shipping industry in the long term.
This is the largest investment ever in modernizing American ports.
It is focused on proven measures to make goods move faster and cheaper, which means better outcomes for consumers.
And it is a crucial part of how we build more resilient supply chains. https://t.co/BulwPyFGL3
— Brian Deese (@BrianDeeseNEC) February 23, 2022
“President Biden is leading the largest ever federal investment in modernizing our country’s ports, which will improve our supply chains and the lives of Americans who depend on them,” said Transportation Secretary Pete Buttigieg.
“We’re proud to announce this funding to help ports improve their infrastructure — to get goods moving more efficiently and help keep costs under control for American families,” Buttigieg added.