JULY 2026 
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Steel trade closely watches Brownsville 
port’s channel deepening project
After dredging, port can now accommodate larger vessels.
By Manik Mehta, AJOT 
(PROJECT – continued on page 12)
The Port of Brownsville, a deepwater seaport 
in Brownsville at the southernmost tip of Texas and 
connected to the Gulf of Mexico by a 17-mile-long 
ship channel, is crucially important for steel trans-
portation; consequently, the US steel industry has 
been closely following the completion of the port’s 
channel deepening project. 
The steel industry’s interest was also evident at 
the recent Global Steel Dynamics Forum (GSDF) 
2026, held in New York City, where Port of Browns-
ville had set up a booth to inform, and answer ques-
tions from participants at the event. 
With the completion of the port’s dredging work, 
which was celebrated with an official ribbon-cutting 
ceremony on June 25, 2026, port officials said that 
the port can now accommodate the larger post-Pan-
amax vessels while also strengthening its position as 
a major gateway for liquid and bulk commodities at 
the Texas Gulf Coast. 
The Brownsville Navigation District (BND), 
the port operating agency, had the Brownsville Ship 
Channel deepened to 54 feet and its main channel to 
52, adding approximately 10 feet of depth to each 
facility. The $295 million project was completed in 
partnership with the US Army Corps of Engineers 
and liquefied natural gas producer NextDecade, the 
project’s federal and private sponsors. This would 
reduce transit times and increase the port’s capacity 
for larger cargo volumes. 
According to port sources, there are plans to 
invest an additional $50 million in carrying out 
landslide infrastructure improvements aimed at 
sustaining future growth; the dredging work would 
benefit the port’s main cargo sectors, particularly 
bulk and energy shipments. While bulk carriers 
and general cargo vessels were the mainstay of the 
port’s traffic last year, with such vessels account-
ing for 195 of the port’s 292 deep-sea vessel calls, 
or some 63% of the total weight tonnage handled, 
the port also handled significant refined petroleum 
and other energy exports. 
The port’s expansion comes at a time when the 
region is concentrating on energy-related develop-
ment.  Indeed, NextDecade is planning a 2027 startup 
for the first phase of its Rio Grande LNG export facil-
ity in South Texas, while America First Refining has 
plans to build a new refinery in Brownsville. These 
two projects are aimed at boosting vessel traffic and 
reinforcing the port’s growing role in US energy 
exports and the Gulf Coast maritime trade. 
Mexico Is the Port’s Cargo-Growth Engine
Guillermo Rico, Port of Brownsville’s director 
of business development and marketing, said in an 
interview with the American Journal of Transpor-
tation at the GSDF 2026 in New York City, that 
90% of the port’s maritime and logistics business is 
related to Mexico. 
“We receive materials from all over the world 
and ship these to Mexico. Of course, steel and alu-
minum form a large chunk of our cargo traffic, but 
we also ship gasoline, diesel, lubricants, naphtha, 
etc. to Mexico.  Furthermore, we get from Mexico 
heavy oil which is transported to Houston, Texas, 
where it is refined and then distributed in the United 
States,” Rico explained. 
Port officials say that Mexico remains the pri-
mary engine behind Brownsville’s cargo growth. 
Total cargo throughput increased from 11 million 
tons in 2020 to 28 million tons in 2024; volumes 
are projected to reach between 30 million and 32 
million tons by end 2026.
According to Rico, increased movement of 
steel and aluminum connected with Mexican indus-
try has played a major role in that growth. “This 
(growth) is happening mainly because of Mexico, 
as both steel and aluminum traffic has grown sig-
nificantly,” he said. Steel imports from Mexico 
attract 20% tariff rate. 
He referred to Brownsville Navigation District as 
a “city by itself”, with a 40,000-acre large industrial 
Guillermo Rico, Port of Brownsville’s director of business 
development and marketing
for cargo use. The grant through the Port Infrastruc-
ture Development Program will be supplemented by 
$10.8 million in secured state and local funding.
“We’re excited about the progress in revitaliz-
ing a dilapidated facility that we hope to have ready 
to handle future commodities by 2030-31,” says 
Jayson Hron, the Duluth Seaway Port Authority’s 
director of communications and marketing. “This 
(PIVOT – continued on page 14)
(PIVOT – continued from page 10)
Tugboat Meredith Ashton and a deck barge loaded with 
project cargo became the first vessel in decades to dock at the 
rebuilt northeast-facing Berth 10 at the Duluth Seaway Port 
Authority’s Clure Public Marine Terminal.

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