A Comprehensive Guide to the Port of Houston, USA

Table of Contents

About Port of Houston

Port of Houston

The Port of Houston is located in Houston, Texas, USA, just a few hours’ sail inland from Galveston Bay on the Gulf Coast. As the largest container port on the Gulf Coast, it handles approximately 70% of the region’s containerized cargo and is one of the busiest ports in the United States.

You may want to know: What are the top 10 busiest ports in the US?

Not only is the Port of Houston a crucial global trade and logistics hub, but it also holds a pivotal position in the transportation of energy and chemical products, particularly in importing and exporting oil, natural gas, and other chemicals. As the largest port in Texas, the Port of Houston holds 97% of the state’s container market share and profoundly impacts global trade and regional economic development.

Location and Transportation Hub

The Port of Houston is strategically located on the Gulf Coast, close to downtown Houston, and has close connections to several key markets within the United States. It is connected to major markets in the central and southern United States and around the world through multiple transportation networks:

Sea Freight: Due to its proximity to the Gulf of Mexico, the Port of Houston can accommodate some of the world’s largest vessels, including mega tankers and container ships, significantly facilitating the global flow of goods by sea.

Rail and Road: The Port has strong connections to the nation’s railroad network, particularly to the Texas railroad system, which ensures rapid cargo transshipment. At the same time, the highway network around the Port of Houston is extremely well developed, especially the highway system with the city of Houston and its surrounding areas, which facilitates the transportation of goods by land.

Inland Waterways: The Port of Houston directly connects to the ocean via the Houston Ship Channel, allowing access to large tonnage vessels and connecting to the U.S. inland waterway system, further expanding its logistical reach.

Port Facilities and Functions

The Port of Houston is a comprehensive port that contains several terminals and facilities capable of handling many types of cargo:

Container Terminals

The Port of Houston is one of the most important container ports in the United States. Its modern container handling facilities efficiently handle a wide range of cargoes imported and exported worldwide. It is the fifth largest container port in the U.S., and its operations cover a wide range of commodities, including consumer goods, machinery and equipment, and electronics.

Oil and Gas Terminals

The Port of Houston plays a pivotal role in the transportation of oil and gas, particularly liquid natural gas (LNG) and petrochemicals. The Port has several specialized facilities that handle liquid cargoes such as oil, natural gas, and chemicals, making it a key logistics hub for the U.S. energy industry.

Bulk Cargo Terminals

The Port of Houston also handles much bulk cargo, including coal, agricultural products (such as grains and soybeans), and ores. Through multiple Bulk Cargo Terminals, the Port supports the import and export of bulk commodities.

Heavy Lift Terminals

The Port of Houston also offers facilities to handle heavy cargo and equipment and extensive equipment required by the oil and gas industry, such as drilling rigs, heavy machinery, and more.

Automobile Terminals

The port, which also has a dedicated automobile import and export terminal, is one of the significant USA ports for importing and exporting automobiles and handles a large volume of cars and automobile parts.

Economic Impact and Global Trade

The Port of Houston profoundly impacts regional and U.S. economic development. It injects strong economic vitality into Texas and the surrounding region by creating significant employment opportunities, attracting international investment, and supporting local businesses. At the same time, as a key hub for U.S. energy exports, the Port of Houston plays a vital role in importing and exporting oil, natural gas, and chemicals, solidifying U.S. leadership in international energy markets.

The Port of Houston connects Latin America, Europe, Asia, and many other important regions in global trade, forming an extensive international shipping network. The port enhances trade efficiency and provides reliable support for the worldwide supply chain through efficient logistics services and high-quality infrastructure. The Port of Houston’s central position in the regional economy and international trade fully demonstrates its importance in the global economic system.

What marinas are in the Port of Houston?

Container Terminals

The Port of Houston is one of the major container ports in the United States, handling import and export cargo primarily through two container terminals:

Barbours Cut Container Terminal

Introduction: Located on the east side of the Port of Houston, this is the earliest container terminal. It was one of the first large container terminals in the United States with modern facilities.

Function: Specialized in handling import and export containers covering various commodities from consumer goods to machinery and equipment.

Facilities: Features multiple deepwater berths, modern cranes, and automated yards to handle large container ships.

Bayport Container Terminal

Introduction: Located at the south end of the Port of Houston, Brown Container Terminal is a modern container terminal specializing in handling a large volume of container trade.

Function: Handling all kinds of containerized cargo in international trade, especially trade with Asia, Europe, and Latin America.

Facilities: Brown Container Terminal is equipped with state-of-the-art facilities, including multiple deepwater berths, automated yards, and large cranes capable of receiving the world’s largest container ships.

Oil and Gas Terminals

The Port of Houston is one of the world’s major transportation hubs for oil and gas, offering facilities for handling petroleum products, natural gas, and petrochemicals.

Martel Oil Terminal

Description: Located in the western part of the Port of Houston, this terminal specializes in handling oil and other energy products.

Function: It mainly imports and exports crude oil and refined products.

Facilities: The facility features deep-water berths capable of accommodating large tankers and a high-speed pumping system for rapid loading and unloading of oil products.

Kilby Energy Terminal

Description: The terminal is a highly specialized energy handling terminal that focuses on the bulk transportation of energy products.

Function: Specializes in handling high-value energy commodities such as petrochemicals and liquid natural gas (LNG).

Facilities: It has a state-of-the-art liquid chemical handling system and can handle large-scale energy transportation requirements.

Bulk Cargo Terminal

The Port of Houston handles all bulk cargoes, including coal, grains, ores, soybeans, and steel.

North Sea Bulk Terminal

Introduction: This terminal handles bulk cargoes, especially coal, grains, etc.

Function: It mainly handles bulk commodities such as coal, grains, ores, fertilizers, etc.

Facilities: The terminal is equipped with an automated conveyor system that allows for the rapid loading and unloading of these bulk cargoes and ensures efficient transportation.

Roosevelt Bulk Terminal

Description: A terminal specializing in handling bulk cargoes, especially minerals and agricultural products.

Function: Handles primarily agricultural products and minerals, supporting the Houston area’s farming and mining exports.

Facilities include large yards, automated loading and unloading equipment, and specialized cargo handling warehouses.

Heavy Lift Terminals

These terminals specialize in large, heavy cargoes that require special equipment to transport, especially for the oil and gas industry.

International Heavy Lift Terminal

Description: This terminal specializes in handling heavy cargo, primarily for transporting large equipment for the global energy industry.

Function: Handles oil drilling equipment, wind turbine blades, and other heavy machinery.

Facilities: Featuring high load-bearing cranes and specially designed vehicles for handling and loading heavy equipment.

Automobile Terminals

The Port of Houston is a significant automobile import and export port in the United States, handling a large volume of automobile trade.

Port of Houston Automobile Terminal

Introduction: The terminal is specialized in handling imported and exported automobiles.

Function: Handles many imported and exported automobiles, especially from Asia and Europe.

Facilities: With efficient loading and unloading equipment, warehouses, and display areas, it is capable of quickly handling different makes and automobile models.

Liquid Chemical Terminals

The Port of Houston is a key hub for global chemical transportation, handling a wide range of liquid chemicals and petrochemicals.

Chemical Terminals

Introduction: Terminals specializing in handling liquid chemicals, covering the transportation of petrochemicals and fine chemicals.

Function: Handles loading and unloading, including liquid chemicals, petrochemicals, and gases.

Facilities: Equipped with specialized liquid chemical storage tanks and loading/unloading facilities with efficient and safe operating systems.

General Cargo Terminals

The Port of Houston also handles all types of general cargo, including steel, furniture, machinery, and equipment.

Port of Houston General Cargo Terminal

Description: This terminal handles general non-bulk cargo, especially machinery, steel, and equipment.

Function: It is suitable for transporting a wide range of cargoes, such as steel products, large machinery and equipment, and construction materials.

Facilities: The terminal is equipped with various types of loading and unloading machinery and stacking areas, which allow it to efficiently handle a wide range of non-bulk cargoes.

Agricultural and Grain Terminals

The Port of Houston is a key hub for exporting U.S. agricultural products, especially bulk grain and farming products.

Texas Agricultural Terminal

Description: The terminal handles various agricultural and grain products, primarily bulk.

Function: It mainly handles the export of bulk grain, beans, and other agricultural products.

Facilities: These include advanced conveyor systems and storage facilities capable of rapidly loading and unloading agricultural products.

Port of Houston Marina Map

bayport terminal traffic map
barbours cut terminal traffic map

What terminals do different shipping companies call at the Port of Houston?

Shipping CompanyMain TerminalsCharacteristics
Maersk LineBarbours Cut Terminal|
Bayport Terminal
One of the largest global container shipping companies, primarily in trade between Asia, Europe, and Latin America.
MSC (Mediterranean Shipping Company)Bayport TerminalA global shipping giant with routes covering multiple regions, especially between Asia, Europe, and South America.
Hapag-LloydBarbours Cut Terminal
Bayport Terminal
Provides global container shipping services, mainly focused on trade between Europe, North America, and Asia.
Evergreen MarineBarbours Cut TerminalA sizeable Taiwanese shipping company primarily operating across transpacific and transatlantic routes.
CMA CGMBarbours Cut Terminal
Bayport Terminal
A French and fourth-largest container shipping company globally, offering services between North America, South America, Europe, and Asia.
COSCO ShippingBayport TerminalOne of the largest global shipping companies, mainly operating routes between China and the United States, focusing on East Asia and U.S. trade.
OOCL (Orient Overseas Container Line)Barbours Cut TerminalA Hong Kong shipping company primarily operates in Asia, the Americas, and Europe.
NYK Line (Nippon Yusen Kaisha)Barbours Cut Terminal
Bayport Terminal
A major Japanese shipping company offering global shipping services, particularly across transpacific routes.
Höegh AutolinersPort of Houston Automobile TerminalIt specializes in transporting cars and heavy equipment and handles imports and exports of vehicles and other high-value goods.
ZIM Integrated Shipping ServicesBarbours Cut TerminalAn Israeli shipping company primarily operates container shipping between Asia and Europe, Asia, and the Americas.

What are the free stays in the Port of Houston for different shipping companies?

The shipping company, type of cargo, agreement terms, and specific terminal regulations typically determine the free time for different shipping lines at the Port of Houston. Free time refers to the period during which cargo can stay at the port without incurring storage charges. Demurrage fees will usually apply if the cargo stays beyond the free time.

Shipping CompanyFree Time (Days)
Maersk Line3-5 days
Mediterranean Shipping Company (MSC)5 days
Hapag-Lloyd4 days
Evergreen Marine4 days
CMA CGM4-5 days
COSCO5 days
OOCL4-5 days
NYK Line4 days
Höegh Autoliners7 days
ZIM4-5 days

Notes:

  • Demurrage fees will apply after the free period. These fees are usually charged daily and depend on the shipping company, route, cargo type, port conditions, etc. Demurrage fees typically increase the longer the cargo stays beyond the free time.
  • Holidays, port congestion, and operational conditions may also affect free time. Some shipping lines or ports may adjust free time during peak seasons (e.g., around holidays).
  • Refrigerated cargo and special cargo (e.g., hazardous materials and overweight cargo) may require different free time arrangements or, in some cases, no free time at all, requiring special negotiations.
  • The above information provides general guidelines, but the exact free time policy should be confirmed with the shipping company or port operator. Customers are advised to verify the terms when booking.

Demurrage Calculation Rates for Different Shipping Lines in the Port of Houston

The demurrage charges at the Port of Houston vary by shipping company, container type, cargo nature, and specific port operations. Demurrage charges refer to the fees incurred when containers remain at the port beyond the allotted free time. These charges are typically calculated per day and tend to increase the longer the container stays at the port.

Shipping CompanyStandard Container Demurrage Fee (per day)Reefer Container Demurrage Fee (per day)Free Storage TimeIncreasing Demurrage FeesNotes
Maersk$20-$50$60-$100Typically 3-5 daysFees increase after the free timeLower fees for the first 1-3 days, increasing after
MSC (Mediterranean Shipping Company)$25-$40$60-$100Typically 5 daysFees increase after the free timeLower fees for the first 1-3 days, increasing after
COSCO (China COSCO Shipping)$15-$30$50-$100Typically 3-7 daysFees increase after the free timeLower fees for the first 1-2 days, increasing after
Hapag-Lloyd$30-$50$60-$150Typically 5 daysFees increase after the free timeLower fees for the first 1-3 days, increasing after

Common Demurrage Charge Calculation Methods:

  1. Daily Charges: Demurrage charges are typically applied from the first day after the free period ends and are calculated per day. For example:
    1. Day 1-3: $X per day for each container
    2. Day 4-6: $Y per day for each container (fees typically increase)
    3. Day 7 and beyond: $Z per day for each container (usually the highest charge)
  2. By Container Type: Different container types (e.g., 20ft, 40ft, refrigerated containers) may incur different demurrage fees. Refrigerated and special cargo usually attract higher demurrage fees.
  3. Tiered Pricing: Demurrage charges are often based on a tiered system. The longer the container stays, the higher the daily charges, with different rates for specific delay periods.
  4. Cold Chain Cargo Additional Fees: Refrigerated or temperature-sensitive cargo may incur additional demurrage charges due to the need for special handling and refrigerated storage, which generally results in higher fees than standard containers.
  5. Delay and Fees: Demurrage fees typically begin on the first day after the free period ends and accumulate daily. The charges will depend on container size and type, the nature of the cargo, and factors like the shipping company and port operations.

Key Points to Note:

  • Contract Differences: The demurrage charge standards may vary based on different shipping companies and customer contracts. The specific charges are usually confirmed during the booking and contract phase.
  • Cumulative Charges: Some shipping companies may apply tiered pricing, meaning the more extended a container is, the higher the fees.
  • Port or Route-Specific Rules: During busy seasons or for specific routes, demurrage fees may fluctuate, and customers should stay updated on any relevant notices.

Recommendation:

To avoid unnecessary demurrage charges, cargo owners should confirm the free time period for pickup and promptly arrange container retrieval and transport. If retrieval will take longer than the free time, it’s best to discuss the demurrage charges and options with the shipping company or freight forwarder in advance.

You may be interested in the following content:

Leatest Post

Anti-Dumping Duties

What is an anti-dumping duty? An anti-dumping duty is a trade protection measure designed to prevent foreign companies from dumping

Read More »
Scroll to Top