The port of Long Beach is to invest US$3bn on new projects over the next decade to meet the challenge of increasing competition.

Port of Long Beach executive director Dick Steinke said he expected increased competition, not only in the west, but also on the US Gulf and east coasts, once expansion work on the Panama Canal is complete in 2014.

That work will allow the largest container ships from Asia to go direct to the east coast of the US.
Long Beach also faces increased competition from Mexican and Canadian ports.

"Today's reality is that our customers are shopping around, and other seaports are vying aggressively for their business," said Steinke. "We need to be the best, most cost-effective port for meeting their needs."

"We need to develop our infrastructure to move cargo more efficiently and reliably, if we are going to continue to support the economy and create new jobs. This has already begun."

The port has begun a $1.1bn project to replace the Gerald Desmond Bridge, allowing the largest ships better access, and has received permission to start work in its Middle Harbour, replacing two obsolete terminals with a new one.

It is releasing the draft environmental impact report for the bridge replacement project next week, for hearings later in the month.

Long Beach will also submit a draft environmental impact report for a new $650m shipping terminal, is beginning a new dredging project and will renovate Pier G to include an on-dock rail yard.

Last year, Long Beach's container volumes slipped 22% to 5.1m teu, while its vehicle volumes slipped 50%.