(OTTAWA, Ontario) — A comprehensive independent survey of public and private investment conservatively estimates that $8.4 billion (U.S.) will be spent to enhance marine shipping on the Great Lakes and St. Lawrence Seaway between 2018 and 2027.
Prepared by Martin Associates and titled “Infrastructure Investment Survey of the Great Lakes and St. Lawrence Seaway System,” the survey quantifies ongoing investments in the navigation system to help support long-term planning and the achievement of economic development goals, while also building confidence in the system’s future viability.
In addition to identifying the level of investment, the survey also revealed investment in specific aspects of Great Lakes-St. Lawrence Seaway System. This includes:
• $636 million was invested in vessel enhancements between 2018 and 2022, with at least another $328 million planned between 2023 and 2027.
• $2.1 billion was invested to enhance port and terminal infrastructure between 2018 and 2022, with at least another $1.1 billion planned between 2023 and 2027.
• $3 billion was invested in waterway infrastructure such as locks, breakwaters and navigation channels between 2018-2022, with at least another $$1.2 billion planned between 2023 and 2027.
This magnitude of investment reveals several important facts about the future of the economy, supply chains and net-zero initiatives in North America, specifically that:
• The marine shipping industry is focused on maintaining and building on its leadership as the most efficient, reliable, and sustainable way to move cargo;
• There is broad recognition that economic growth and greenhouse gas (GHG) reduction ambitions can be achieved through significant investment in marine shipping;
• Navigation infrastructure and its users provide a key conduit for commercial activity for North American businesses – a vital conduit that requires continuous investment to enhance and maintain; and
• As the world undergoes a historic shift toward more sustainable practices, the marine shipping industry and the U.S. and Canadian governments are partnering to actively invest billions to lead in the transition.
The survey was developed as part of a larger project that was requested by a public/private sector committee of American and Canadian maritime organizations. That project produced a study titled “Economic Impacts of Maritime Shipping in the Great Lakes-St. Lawrence Region,” which was released last July.
The intent of this project was to provide the navigation community, transportation planners, government policymakers and the public with a credible, independent assessment of the economic contributions associated with commercial maritime shipping in the Great Lakes and St. Lawrence region throughout North America. The study showed that marine shipping on the Great Lakes and St. Lawrence Seaway supports tens of billions in economic activity in North America, hundreds of thousands of jobs, and billions in wages and taxes each year.
In addition to the billions invested by private marine shipping organizations in research and development, new infrastructure and new service offerings, the survey captures major governmental funding initiatives aimed at enhancing infrastructure and improving supply chains.
This includes the U.S. government’s Bipartisan Infrastructure Law and Inflation Reduction Act, which were aimed in part at investing in green technologies and infrastructure enhancement; the Canadian government’s Green Shipping Corridor Program, which will support increased sustainability within the marine sector; and the Canadian government’s establishment of a dedicated Transportation Supply Chain Office to enhance supply chain effectiveness.
Information regarding the author of the survey, and the industry collaboration that led to the survey being prepared is included in the backgrounder that follows.
