US Ports and Waterways Struggle Amid Infrastructure Crisis

The United States' port and inland waterway infrastructure receives low ratings and faces a significant funding shortfall. This report advocates for increased investment to modernize and improve efficiency. Addressing this investment gap is crucial to reshape the future of waterborne transportation and ensure its competitiveness. Prioritizing infrastructure upgrades will enhance supply chain resilience and support economic growth by optimizing the movement of goods through ports and inland waterways.
US Ports and Waterways Struggle Amid Infrastructure Crisis

A recent report from the American Society of Civil Engineers (ASCE) paints a troubling picture: U.S. port infrastructure earned a mediocre C+ grade, while inland waterways scored a dismal D. These critical systems, responsible for moving 14% of domestic freight and handling 99% of U.S. exports through 926 ports nationwide, now operate under conditions that experts warn could severely disrupt the nation's $4.6 trillion water-dependent economy.

Decaying Foundations

Despite annual investments of $22 billion, America's water transport networks suffer from a $15 billion funding shortfall. The inland waterway system — 25,000 miles of channels and 239 locks — moves approximately 600 million tons of cargo annually. But nearly half of all vessels experience delays navigating these aging corridors, with most infrastructure operating decades beyond its intended 50-year lifespan.

"It's like trying to run a modern highway system with wooden bridges from the 1920s," said transportation analyst Mark Reynolds. "The system wasn't designed to handle today's commerce volumes or vessel sizes."

Ports Under Pressure

While ports fared slightly better in ASCE's assessment, they face mounting challenges. Container ships have grown 1,200% in capacity since 1968, yet many U.S. ports lack the depth, equipment, or landside connections to efficiently handle modern vessels. The resulting congestion creates ripple effects throughout supply chains, increasing costs for businesses and consumers alike.

The Port of Los Angeles, America's busiest container port, exemplifies these strains. "We're playing catch-up after decades of underinvestment," said port executive Gene Seroka. "Every delayed ship costs thousands in extra fuel and labor expenses that ultimately get passed along."

Prescription for Recovery

ASCE proposes a five-point plan to revitalize water infrastructure:

1. Streamline Authority: Grant the Army Corps of Engineers greater contracting flexibility to accelerate projects currently bogged down in bureaucratic processes.

2. Guarantee Funding: Fully fund authorized water projects and maintain biennial Water Resources Development Act reauthorizations.

3. Optimize Trust Funds: Increase annual allocations from the Inland Waterways Trust Fund for maintenance and operations.

4. Alternative Financing: Expand public-private partnerships to supplement traditional funding mechanisms.

5. Performance Metrics: Implement standardized delay measurement systems to identify and address bottlenecks.

Economic Imperative

With waterborne transport contributing 26% of U.S. GDP, experts warn that continued neglect risks America's competitive position. "Our global competitors invest systematically in port modernization," noted trade economist Laura Dawson. "China builds more port capacity annually than exists in all U.S. Great Lakes ports combined."

The stakes extend beyond economics. Modernizing locks could reduce vessel wait times by 30%, cutting emissions equivalent to removing 200,000 cars from roads annually. Deeper channels would allow larger, more fuel-efficient ships to call at U.S. ports.

Path Forward

Congress faces mounting pressure to address the crisis. Proposed legislation would increase Harbor Maintenance Tax collections and reform cost-sharing formulas for inland projects. Meanwhile, ports from Baltimore to Long Beach pursue terminal automation and digital tracking systems to boost efficiency.

"This isn't just about fixing what's broken," concluded ASCE president Tom Smith. "It's about building the infrastructure that will power American prosperity for generations to come."