California eyes new inland port to address supply-chain woes

State allocated $20 million for feasibility study of Ontario logistics hub

New Inland Empire facility would ease pressure on congested LA, Long Beach ports

California Governor Gavin Newsom has announced plans to explore the development of a new inland port in the Inland Empire region as part of the state's efforts to address ongoing supply chain disruptions. The state has allocated $20 million for a feasibility study to evaluate the potential of establishing a logistics hub in Ontario, a city located about 35 miles east of Los Angeles.

Tackling supply-chain bottlenecks

California's ports have been grappling with severe congestion and delays in recent months, leading to logjams of cargo ships off the coast and disruptions to the flow of goods throughout the state and beyond. The new inland port in Ontario is seen as a potential solution to alleviate the pressure on the congested ports of Los Angeles and Long Beach, which handle the vast majority of the state's imports.

Strategic location and infrastructure

Ontario is strategically located at the crossroads of major freeways and rail lines, making it an ideal location for an inland port. The city also has a large industrial base and a skilled workforce, further enhancing its suitability for a logistics hub. The proposed inland port would provide a dedicated space for cargo handling, warehousing, and distribution, helping to streamline the flow of goods and reduce congestion at the coastal ports.

Economic benefits and job creation

The development of an inland port in Ontario is expected to bring significant economic benefits to the region, including the creation of thousands of new jobs in logistics, transportation, and related industries. The project is also expected to boost the local economy by attracting businesses and stimulating investment in the area.

Environmental considerations

The feasibility study will also assess the environmental impacts of the proposed inland port, including air quality, noise, and traffic. The state is committed to developing the project in a sustainable manner, incorporating measures to minimize any potential negative effects on the surrounding environment.

Next steps

The feasibility study for the Ontario inland port is expected to be completed within the next year. Based on the findings of the study, the state will make a decision on whether to proceed with the development of the project. If approved, construction of the inland port could begin as early as 2024, with operations commencing in 2026.