Mobile Harbor ribbon-cutting makes Port of Mobile deepest container terminal on Gulf Coast

MOBILE – A ribbon-cutting ceremony today in Mobile will have an effect on the economic future more than 300 miles north in the Tennessee Valley.

The ceremony marked the completion of the Mobile Harbor Modernization Project, marking the achievement of a 50-foot channel depth that officially makes the Port of Mobile the deepest container terminal on the Gulf Coast.

“With a 50-foot channel, the Port of Mobile now stands as the deepest container port in the Gulf of America,” said Alabama Port Authority Interim Director & CEO Doug Otto. “This investment isn’t just about depth — it’s about efficiency. The project’s enhancements allow for two-way vessel traffic and create nearly three miles of passing lane, improving safety, reducing transit times, allowing for more cargo, and delivering faster turnarounds for our customers.

“These capabilities strengthen the port’s competitive position and make a compelling business case for shippers choosing Alabama as their gateway for global trade.”

The event at APM Terminals Mobile drew hundreds of customers and stakeholders, bringing together federal, state, and local leaders who helped make the project possible.

“This project is a game changer for Alabama, which is why I made it a key component of our Rebuild Alabama plan,” said Gov. Kay Ivey. “A deeper channel means stronger trade, more jobs, and a brighter future for our state. What’s more is this achievement reflects a model partnership: the federal authorization and funding, a strong, $150 million state match through the Rebuild Alabama Act, and private-sector investments from AP Moller Maersk are all proof that when Alabama aligns vision with execution, we deliver results.”

Since the 50-foot depth was achieved Oct. 3, the Port has seen all coal vessels take advantage of the additional depth. APM Terminals Mobile, which routinely handles 9,000-10,000 TEU vessels, anticipates calls from ships carrying 12,000-16,000 TEUs, with the option to handle even larger vessels as needed.

Though it’s at the opposite end of the state, the Port of Mobile is a vital cog in North Alabama’s commerce and economy.

“From the Gulf Coast to the Tennessee Valley, we are one team, one economy, and one great state,” said U.S. Rep. Dale Strong (R-Huntsville). “This investment in the Port of Mobile strengthens Alabama’s position on the global stage — ensuring that whether it’s defense, manufacturing, or logistics, the world continues to do business with and through Alabama.”

The $366 million Mobile Harbor Modernization Project represents a state–federal partnership between the Alabama Port Authority and the U.S. Army Corps of Engineers. The effort deepened and widened the Mobile Ship Channel to improve navigational efficiency, accommodate larger vessels, and strengthen Alabama’s position as a global trade gateway.

“Driving growth at Alabama’s Port has always been key to Alabama’s economic future,” said former U.S. Sen. Richard Shelby. “When I visited the Port of Singapore years ago, I saw how a relatively small geographic area leveraged its port system to drive incredible economic success, and I knew then that Alabama had the very same potential. The results so far are evidence of more success to come.

“From getting the authorization for the channel project to securing $438 million for the Port before I left office, this project has been years in the making, and I could not be prouder to see it completed for the people and the future of Alabama.”

The project began in 2014 with the Corps’ General Reevaluation Report, funded through Shelby’s guidance. It was authorized by Congress in the 2018 Water Resources and Development Act and advanced after Ivey signed the 2019 Rebuild Alabama Act, which provided the state’s 25% cost-share.

Dredging began in 2020 and was completed to full depth in 2025. Work continues on the turning basin near the container terminal, where dredged material is being beneficially used for shoreline restoration at Dauphin Island.

“For many years and in several capacities, I have been honored to support the Port of Mobile’s success and help grow our vital state-federal partnership,” said Sen. Katie Britt (R-Montgomery). “I have also been a consistent advocate for balancing the port’s role as a vital channel for commerce in our state and the need to conserve our natural resources and protect Alabama the Beautiful through beneficial use dredging.”