U.S. Customs, Border Protection approves proposal for sea cargo terminal in Indiana

PORTAGE, Ind. — Officials with the U.S. Customs and Border Protection recently announced that they have approved a proposal from the Ports of Indiana-Burns Harbor to establish the first international sea cargo container terminal on Lake Michigan.

According to a news release, the approved proposal will create the only all-water container route to serve the Chicago metropolitan area. The terminal will be located in northwest Indiana and will be part of the 25th largest port in the United States. Previously, all containers moving through Chicago would travel by rail or truck.

“This is a critical step in a long process to establish a container terminal at Ports of Indiana-Burns Harbor and a new supply chain for international container shipments,” Ports of Indiana CEO Jody Peacock said in the release. “Having an all-water container route into the Midwest could create transformational opportunities, but it will take time to develop. Our port has the capabilities to handle containers today, but we won’t be able to schedule regular container shipments until the Customs’ facilities are fully operational, potentially in 2026.”

The letter which provided the approval states that the project justifies the need for a staffed container cargo examination facility at the Burns Harbor port. The release said that the Ports of Indiana will be responsible for constructing the facility, including equipment, supplies, radiation portal monitors and security.

“This new venture comes with major challenges and major opportunities, but our Ports of Indiana team has made this a top priority because we believe it is critical to providing Indiana with a modern port system,” Ryan McCoy, the port director at Ports of Indiana-Burns Harbor, said in the release. “Great Lakes shipping is limited by a shorter shipping season and the use of smaller vessels, but the potential upside for handling containers is tremendous. Allowing ocean carriers to start serving this market could diversify supply chains, avoid bottlenecks and reduce the overall carbon footprint for shipping to and from the Midwest.”

The release said that the Ports of Indiana has garnered memorandums of understanding from potential partners as well as letters of support from other area ports, along with government officials, businesses and trade associations. Construction and the installation of the facility and equipment is expected to occur next year.

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