Yang Ming has extended its lease at the Port of Los Angeles for an additional nine years.
The liner carrier’s current lease at the West Basin Container Terminal ends in 2021. The new agreement extends the lease to 2030 and will result in additional port revenues of between $365 million and $525 million, depending on cargo volumes.
Los Angeles Mayor Antonio Villaraigosa signed a memorandum of understanding to expand and modernize the terminal on Tuesday during a trip to Beijing.
The port will invest $122 million on improvements, including building a new 1,260-linear-foot wharf at berths 126-129, and dredging to a depth of 53 feet at the new wharf expanding the West Basin Intermodal Container Transfer Facility.
The West Basin Container Terminal is a partnership between Yang Ming, China Shipping, and Ports America.
Villaraigosa said the agreement "will allow the largest, most modern ships to call at Yang Ming and provide cargo growth over the next 17 years.” - Chris Dupin