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International Container Terminal Services, Inc.’s container terminal in Bauan, Batangas is expected to be completed by 2028
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To be named Luzon International Container Terminal, the facility will be capable of handling mega ships
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The largest privately-funded marine terminal investment in the Philippines, LICT is set to become the country’s second-largest container facility after ICTSI’s flagship Manila International Container Terminal
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ICTSI last May announced it is investing $800 million to build the Bauan terminal
International Container Terminal Services, Inc.’s (ICTSI) Bauan, Batangas terminal when completed in 2028 will be capable of handling mega ships and meet the growing demand for efficient and eco-friendly marine-handling solutions in the region, the company said in a statement.
To be named Luzon International Container Terminal (LICT), the facility will be the largest privately-funded marine terminal investment in the Philippines, ICTSI said. LICT is also set to become the country’s second-largest container facility after ICTSI’s flagship, Manila International Container Terminal.
ICTSI last May announced it is investing $800 million to build a the Bauan terminal.
The port operator said LICT represents its commitment to innovation and sustainability by accommodating mega ships and integrating eco-friendly practices, thereby supporting both its economic growth and environmental responsibility.
“We’re proud to drive positive change at home by developing a world-class port capable of handling the largest container vessels,” ICTSI vice president and head of global engineering for infrastructure and project delivery Nathan Clarke said.
He added: “This boosts our capacity and helps lead the shift toward a more sustainable shipping industry. Our new Bauan terminal’s ability to accommodate large ships sets it apart and positions us as a leader in efficient and eco-conscious trade. At the end of the day, if a terminal is unable to handle larger vessels, it’s also unable to fully embrace the new technologies leading to a sustainable future.”
Beyond expanding capacity, ICTSI said LICT is expected to support the Philippines’ renewable energy goals, particularly in Southern Luzon. It added that with the country shifting toward cleaner energy, “the new terminal will meet growing demand for efficient and eco-friendly marine handling solutions in the region.”
ICTSI said it is committed to building LICT with sustainability in mind, adding that every aspect of the terminal’s design and construction will prioritize environmental responsibility. Design and engineering studies are currently underway, with construction set to begin in early 2025. ICTSI said the project will follow strict environmental guidelines to minimize disruption to the local ecosystem.
The port operator said its sustainability track record, seen in its 36-year operation of MICT, serves as the foundation for LICT. Over the years, ICTSI has implemented initiatives like advanced waste and water management systems, circular economy practices, biodiversity conservation programs, and decarbonization efforts to reduce its environmental impact.
A key feature of LICT is its ability to handle mega ships, a growing trend in global shipping aimed at increasing efficiency and reducing environmental impact. These larger vessels can carry significantly more cargo, offering several environmental benefits, ICTSI noted.
The port operator explained that one of the main advantages of mega ships is that they help reduce the number of vessels at sea by transporting more cargo in fewer trips. This leads to lower fuel consumption, reduced greenhouse gas emissions, and less congestion on shipping routes. ICTSI noted, for example, ultra-large container ships carrying over 20,000 containers emit less carbon per container compared to smaller vessels, making them a more sustainable option for global trade.
Mega ships, like those that will use LICT, are also adopting green technology to further reduce their environmental impact. Many of these ships have energy-efficient engines, streamlined hull designs to reduce drag, and use cleaner fuels such as liquefied natural gas. ICTSI said these advancements help lower emissions and comply with international regulations like the International Maritime Organization’s sulfur content limit in marine fuels.
Larger vessels are also more energy efficient because by carrying more containers per trip, they use less fuel per twenty-foot equivalent unit (TEU), resulting in reduced emissions, ICTSI said.
Further, ICTSI said mega ships also help protect marine biodiversity by reducing the number of vessels passing through sensitive areas. Fewer ships mean less disruption to marine life. Additionally, larger vessels often follow established shipping routes that minimize environmental impact. Concentrating traffic in a few key ports, rather than many smaller ones, helps reduce overall ecological damage.
ICTSI noted that many of these ships are equipped with ballast water management systems to prevent the spread of invasive species, further supporting marine conservation efforts.
“As the global shipping industry works to reduce its environmental footprint, mega ships, like those that will call the LICT offer a solution,” ICTSI said, adding that with green technology, lower fuel consumption, and reduced impact on marine ecosystems, these ships are playing a crucial role in making the shipping industry more eco-friendly.
Upon completion, LICT will feature up to 900 meters of quay and at least eight ship-to-shore gantry cranes and an estimated capacity of over two million TEUs per annum.
Aside from the new container terminal, ICTSI, through its subsidiary, also operates Bauan International Port Inc., a roll-on/roll-off and project cargo terminal.