Gov. Josh Shapiro announced $371.5 million in state funding for the Port of Philadelphia on Tuesday, Oct. 13, as part of an $837 million expansion expected to increase cargo capacity and create more than 6,000 jobs.
The state investment is expected to attract an additional $200 million in private funding and $266 million in federal support. The expansion is projected to increase container capacity by 122% and automobile capacity by 18% across the port’s facilities, while generating an estimated $45 million in state and local tax revenue.
The project includes $31 million for dredging at Southport Berth I, $145 million for reclamation work at Southport Berth II and the North Wharf, $109.4 million for land acquisition and $58.1 million for cranes and other equipment, according to state officials.
The expansion also includes construction of a new 2,000-foot berth at Southport Marine Terminal, the first new berth there in 50 years, and the acquisition of the 152-acre Mustin Yard property. The additional space will support expanded automobile and container cargo operations.
In addition to developing the Southport berth, PhilaPort will invest in improvements at the Tioga Marine Terminal berth to better handle liquid bulk barges and breakbulk vessels, and support cargo handling capabilities, officials said.
"This is a game changer for PhilaPort," said Shapiro. "It builds on our work to grow the economy and create real opportunity for Pennsylvanians.”
According to the state, PhilaPort supported more than 8,000 jobs and generated nearly $1.2 billion in economic output across Pennsylvania in 2025. The port has also been recognized as one of the country’s most productive container ports for three consecutive years, state officials said.
“As someone who has worked on this waterfront, I know firsthand what these investments mean to the men and women who make their living here,” said Dan Duffy, a member of ILA Local 1291. “This waterfront has supported generations of Philadelphia families... We’re proud of what we do and we’re ready for what’s next.”
Mayor Cherelle Parker said the expansion would create jobs for city residents from all walks of life.
“As the workshop of the world, today’s announcement is a huge deal for the City of Philadelphia,” said Parker. “We hear people talk a whole lot about making the city safer, and you will always hear me affirm that if you want to put people on a path to self-sufficiency, if you want to address the affordability crisis in the city, you give men and women from all walks of life the ability to earn a living wage, health care, and retirement security. We are beyond grateful for this investment and the jobs it will bring.”
The investment will support the port’s long-term expansion plans, including the acquisition and development of additional properties in South Philadelphia’s Southern Port District.
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