News & Updates

USDOT Awards Grant to Port Panama City for Expansion

Port Panama City has been awarded an $11.25 million Port Infrastructure Development Program grant from the U.S. Department of Transportation’s Maritime Administration for the expansion of the East Terminal.  This project will include a new 200,000 Square Foot (SF) on-dock warehouse to increase cargo handling capacity.

“I want to thank the amazing Port Authority Staff and all those who worked tirelessly on this grant application. Thank you to our Board of Directors for their strategic vision and support throughout this application process,” said Alex King, Executive Director, Port Panama City. “I also would like to thank our Federal, State, and Local leaders for their tremendous support as we develop the East Terminal into a world class port facility. Also, I want to thank our many customers for their continued support of our Port. We are excited to get to work on the next phase of expansion at the East Terminal to continue to provide our customers with needed cargo capacity for years to come.”

The East Terminal Expansion Project will create 337 jobs, $30 million in personal income and local consumption and $2.7 million in State and Local Taxes. This will enable the Port to add to the 11,000 jobs currently supported, $1.6 billion economic impact, and over 2 million tons of cargo handled annually.

Port Panama City invested $66 million on the first phase of The East Terminal, which commenced operations in 2020. This expansion included the construction of a 260,000 SF warehouse, improved road and rail development, a modern bulkhead, and the deepening of the East Channel and turning basin. With the successful completion of Phase One, the Port is now embarking on the second phase of development of the East Terminal.

“This is a wonderful opportunity to expand operations at Port Panama City, which is committed to increasing cargo activity that will foster economic growth and create good paying jobs not only in Bay County but in the Northwest Florida region,” said King.

The East Terminal Phase Two Expansion Project is a top priority for the Port. This $28.7 million project aims to add more covered storage capacity, enhance multimodal infrastructure, create market access for future growth, and develop a more resilient supply chain.