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International Container Terminal Services, Inc. and Transnet SOC Ltd.’s partnership agreement for the operation and development of Durban Container Terminal Pier 2 in South Africa officially started on January 1, 2026
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Formal management transition of DCT2 commenced on January 1
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Last December 10, Transnet SOC Ltd. and ICTSI signed a 25-year partnership agreement, which paves the way for the alliance between Transnet Port Terminals and ICTSI to manage the upgrade and development of DCT2
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Under the agreement, Transnet holds a majority share in a new special purpose vehicle, Newco, while ICTSI will be responsible for the terminal’s operation
International Container Terminal Services, Inc. (ICTSI) and Transnet SOC Ltd.’s partnership agreement for the operation and development of the Durban Container Terminal Pier 2 (DCT2) at the Port of Durban in South Africa officially started on January 1, 2026.
ICTSI in a regulatory disclosure said formal management transition of DCT2 commenced on the first day of the year.
The transition follows the December 10 signing between Transnet SOC Ltd. and ICTSI of a 25-year partnership agreement, which paves the way for the alliance between Transnet Port Terminals (TPT) and ICTSI to manage the upgrade and development of DCT2.
Under the agreement, state-owned Transnet holds a majority share in a new special purpose vehicle, Newco, while ICTSI will be responsible for operation of the terminal.
Transnet earlier said the agreement also marks a pivotal moment in the South African government’s economic reforms agenda and Transnet’s strategy to bring the private sector into selective and strategically identified areas of the business.
The partnership is expected to enhance terminal productivity and increase throughput, ultimately improving the organization’s operational efficiency and container supply chains.
Transnet, which owns South Africa’s railway, ports and pipelines infrastructure, awarded the contract to ICTSI in July 2023. Last October, ICTSI was cleared to operate DCT2 after the High Court of South Africa dismissed a case filed by losing bidder APM Terminals BV challenging the Transnet decision.
DCT2 is Transnet’s biggest container terminal, handling over 70% of the Port of Durban’s throughput and approximately 46% of South Africa’s port traffic. The terminal has 1,760 meters of operational quay length and 120 ha of container storage and backup area.
Through the introduction of new equipment and advanced technology, Transnet said DCT2 is expected to increase its capacity from 2 million to 2.8 million twenty-foot equivalent units and improve gross crane moves per hour from 18 to 28 as well as ship working hour from 60 to 120.
Transnet said these improvements are seen to reduce logistics costs and improve service quality, thus broadening market access and attracting new volumes.
READ: ICTSI wins case to operate Durban terminal over Maersk
