CMA CGM Group of France to Acquire Terminals in the Port of NY & NJ

On Dec 7, 2022

French CMA CGM Group, a global player in sea, land, air and logistics solutions, has signed a binding agreement to acquire GCT Bayonne and New York terminals, currently held by Global Container Terminals Inc. (GCT). The pending acquisition would represent CMA CGM’s largest gateway on the U.S. East and Gulf coasts. The Bayonne and New York terminals, with an existing combined capacity of 2 million TEUs per year, have a potential for further expansion, up to almost double capacity.

Rodolphe Saadé, chairman and CEO of the CMA CGM Group, commented, “The acquisition of GCT Bayonne and GCT New York terminals is a strategic investment for the CMA CGM Group. It reinforces the services we provide to US customers and their supply chain efficiency. It further consolidates our positions in the US, a major market among the fastest-growing worldwide, and will help us continue our development.”

After closing, the CMA CGM Group will operate the two strategic facilities as multi-user terminals under the leadership of the current management team and will continue focusing on improving its service quality to satisfy U.S. customers’ expectations. Investment in the infrastructure will be undertaken to meet both CMA CGM and local communities’ environment protection targets.

CMA CGM intends to further develop its shipping line calls in the New York area for which the terminals will provide future capacity. The group will significantly accelerate investments in the development of the Bayonne and New York terminals, with an objective to increase the combined capacity by up to 80% in the coming years. This major acquisition will make it possible for CMA CGM Group to support U.S. East Coast supply chain growth and improve efficiency to and from the world.

With this acquisition, CMA CGM is bolstering its position as a leading global port terminal operator. Currently, the group has investments in 52 port terminals in 28 countries, through CMA Terminals and its Terminal Link joint venture.

The group has a long commitment to the US economy and a strong presence through its port terminals portfolio and operational relationships with customers here, including the U.S. government. It began US operations in the late 1980s and opened its US headquarters in Norfolk, Virginia in 2005. The group currently employs more than 15,000 people in the US.

The closing of this transaction remains subject to the approval of the competent regulatory authorities.

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