Why East and Gulf Coast Ports Are Gaining Ground on the West Coast

Why It Matters

The shift rebalances U.S. supply chains, reducing reliance on congested West Coast gateways and lowering inland transportation costs. It also signals that policy and infrastructure decisions will increasingly shape port competitiveness.

Key Takeaways

• East and Gulf ports up 2-3% TEU growth in 2025.
• LA/Long Beach volumes hit 20.2M TEUs, but volatility persists.
• Infrastructure upgrades boost inland rail connectivity at East Coast ports.
• Tariff uncertainty drives shippers to diversify port usage.
• Northwest Seaport Alliance volumes fell 5.6% YoY.

Pulse Analysis

The latest Colliers analysis confirms a measurable rebalancing of U.S. maritime traffic. While the twin gateways of Los Angeles and Long Beach still moved a record 20.2 million TEUs in 2025, their volumes fluctuated as importers reacted to lingering tariff disputes. In contrast, East Coast and Gulf ports posted steady growth: New York‑New Jersey rose 2.3% to 8.9 million TEUs, Savannah climbed to 5.7 million, and Houston hit a new high of 4.3 million. This divergence reflects a strategic shift away from a single‑point dependency toward a more distributed network.

Several forces are driving the redistribution. Proximity to the nation’s largest consumer markets shortens last‑mile delivery and trims fuel expenses, while diversified trade lanes at ports such as Savannah and Houston cushion regional shocks. Decades of public and private investment—deeper channels, expanded berths, and upgraded rail interchanges—have turned many East and Gulf facilities into true multimodal hubs. As transportation costs rise and geopolitical tensions persist, shippers are increasingly valuing resilience, using multiple gateways to hedge against policy swings and port congestion.

Looking ahead, the trend is likely to intensify in 2026. The Supreme Court’s recent ruling against IEEPA tariffs removes a key source of uncertainty for West Coast traffic, but it also underscores how quickly regulatory changes can reshape volumes. Continued federal funding for inland rail corridors and state‑level port modernization projects will further enhance the competitiveness of Atlantic and Gulf ports. Companies that embed this geographic diversification into their supply‑chain strategies can expect lower inventory buffers, faster delivery times, and a stronger position in an increasingly volatile global trade environment.