ICTSI to invest in new Southern Luzon gateway

May 14 2024 Print This Article

International Container Terminal Services Inc. (ICTSI) is building a new international container terminal in Bauan, Batangas, Philippines. The new terminal will be the largest privately funded marine terminal investment in the country’s history and will ultimately be the second-largest container facility after the Manila International Container Terminal (MICT) in the Port of Manila.

With design and engineering studies well underway, ICTSI will begin construction in the first quarter of 2025. With the first berth scheduled for completion by the end of 2027, the terminal will become a catalyst for economic growth across Southern Luzon, creating jobs and accelerating regional development. The terminal is also expected to play a role in providing the marine handling needs required by the country’s renewable energy transition strategy for Southern Luzon.
 
Construction will begin in 2025 with an estimated USD800 million investment. Upon completion, the terminal will feature up to 900 meters of quay and at least eight ship-to-shore gantry cranes and an estimated capacity of over two million TEUs per annum. Critically, the terminal will have direct and unencumbered access to Southern Luzon’s expressways. This was made possible by the completion of the Bauan-San Pascual-Batangas-STAR tollway diversion road. Additional expressway projects from Cavite to Bauan by Metro Pacific Tollways Corporation and San Miguel Corporation are expected to further enhance the new port’s connectivity making it the most efficiently connected maritime facility in Luzon by both capacity and route access.
 
Christian R. Gonzalez, ICTSI executive vice president, said: “The new terminal represents a significant leap forward for Southern Luzon. We are building a world-class facility that will unlock a wave of economic benefits for the region and the country. It will create new employment opportunities, improve the quality of life for our host communities and the industries located around the terminal, and solidify Southern Luzon's position as a key player in global trade. We are grateful to Batangas governor Hermilando Mandanas for his support and vision for critical infrastructure in the province. We likewise wish to thank the Department of Public Works and Highways, and more specifically, former Senator and current Finance Secretary Ralph Recto and former Deputy Speaker and Batangas Representative Raneo Abu for their vision to efficiently connect Bauan to Southern Luzon’s tollways network.”
 
He added that the new terminal complements ICTSI’s strategy of providing a national network of ports with ICTSI’s brand of operational synergy that would further improve the country’s supply chain and competitiveness in global trade.
 
Strategically located 120 kilometers south of Manila and nine kilometers west of Batangas City, the Bauan facility will become the premier international gateway for shippers based in the CALABARZON region (Cavite, Laguna, Batangas, Rizal, and Quezon), and the most modern container terminal in the country.  Situated within a natural cove, Bauan is a first-class municipality in Batangas province known for its agro-industrial strength.
 
CALABARZON continues to be one of the Philippines’ fastest-growing regions, reaching a 5.2 percent growth rate in 2023, according to latest figures from the Philippine Statistics Authority. The region's gross domestic product stands at Php3.10 trillion, representing 15 percent of the Philippines' total GDP. Per capita Household Final Consumption Expenditure (HFCE) meanwhile, grew by 4.3 percent, exceeding the national average. The facility will likewise allow ICTSI to efficiently balance capacity needs across both the Metro Manila consumption center and CALABARZON through the new Bauan terminal and the MICT.