Norfolk International Terminals rail upgrades on track for 2024 completion

A project to increase the port’s capacity to handle rail cargo by more than 35% is nearing completion.

The Virginia Port Authority is finishing up an $83 million rail yard expansion at Norfolk International Terminals. Construction has reached the halfway point and is expected to finish in 2024.

“Our rail volume is increasing, and as the ships get bigger and we get more efficient, there will be a growing demand for our rail services,” Virginia Port Authority CEO and Executive Director Stephen Edwards said in a March 21 announcement.

The project is part of a larger $1.4 billion campaign that also includes deepening the port’s channels to at least 55 feet and modernizing the north berth at Norfolk International Terminals. It includes two new rail track bundles and three new rail-mounted cranes.

It’s too soon to say how many jobs will be created as part of the expansion, port spokesperson Joe Harris said, but he added that more jobs will be created generally as the port is able to handle larger ships and more trains.

It’s also too soon to say how the expansion would affect the number of trains coming through Norfolk or their effect on blocking car traffic, Harris said.

Port eyes more business toward the west

The port is also adding a new rail service in April as it continues to expand the rail yard.

The new daily train will connect the port of Hampton Roads with a rail terminal located 40 miles from Memphis in Southwest Tennessee. According to the Greater Memphis Chamber, trains moving through the rail yard can reach 45 states, Canada and Mexico within two days.

In an announcement, Edwards said importers and exporters had asked the port authority and Norfolk Southern to develop a high quality train service to Memphis. He said the two organizations spent six months developing it. Norfolk Southern is the exclusive rail carrier for Norfolk International Terminals, Harris said.

“We are always looking for opportunities to expand into new markets and create demand,” Edwards added.

The port moved the equivalent of 1.2 million 20-foot-long shipping containers by rail in 2022, a 6% increase from the year before. The port said its rail volume rose nearly 30% in 2021 from 2020 as West Coast ports experienced congestion during the pandemic and related supply chain delays.

Trevor Metcalfe, 757-222-5345, trevor.metcalfe@pilotonline.com

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