Port Houston tonnage rises 4% as officials cut reefer free time

New tariff rules at Barbours Cut and Bayport terminals aimed at speeding up container pickups, officials say

February cargo volumes increased year over year as port officials advanced operational and infrastructure changes aimed at improving terminal efficiency. (Photo: Jim Allen/FreightWaves)

Port Houston saw steady cargo volumes in February, while commissioners on Monday approved a new tariff rule that shortens free time for refrigerated imports — a move that could tighten terminal capacity for shippers moving temperature-controlled freight through the Gulf.

Cargo tonnage rises in February, TEUs flat

Cargo tonnage at Port Houston increased 4% year over year in February, totaling 4.38 million short tons across the port’s eight public terminals. Year-to-date tonnage reached 8.9 million short tons, up 5% compared with the same period in 2025.

Container volumes were essentially flat for the month at 326,799 twenty-foot equivalent units, but year-to-date container volumes reached 696,833 TEUs, up 2% year over year.

Loaded exports increased 5% and loaded imports rose 3% in the first two months of the year, reflecting continued demand moving through the Houston Ship Channel.

At Port Houston’s multipurpose facilities, February volumes for dry bulk and liquid bulk increased 28% and 31%, respectively, while steel volumes declined 27% year to date due to cyclical demand and global market conditions.

During the port’s commission meeting Monday, CEO Charlie Jenkins said the port maintained efficient operations in February despite fog and other delays.

“We had lots of weather challenges with fog this last month, and to see us still being able to grow with a lot of downtime in the system is a good sign of things to come,” Jenkins said.

Port Houston’s revenue was up 1% year over year in February, according to Christopher Edwards, the port’s deputy chief financial officer.

“Through February, operating revenues totaled $110 million, up 1% from the prior year, down 6% to plan,” Edwards said. “Cash generation remains consistent with historical trends between 40% and 45%. Despite some weather in February, container volumes are running steady against the 2026 plan, and early indicators are that March’s throughput will be stronger.”

Reduction in free time at Barbours Cut and Bayport terminals

One of the key operational items approved during the meeting was an amendment to Tariff Nos. 14 and 15 governing Barbours Cut and Bayport container terminals, effective May 1.

The tariff amendments include two primary changes:

  • Clarification of placard requirements for certain battery-powered vehicles transported through the container terminals.
  • Reduction in free time for loaded import refrigerated containers requiring power, which affects storage charges and terminal dwell time for reefer containers.

“This aligns our rules with other major markets and supports the shippers’ needs to expedite the handling of these commodity types,” Chief Port Operations Officer Ryan Mariacher said. “We want to be a transit facility, not a storage facility, and more throughput creates more economic activity and jobs.”

The reefer free-time change could be particularly significant for shippers and logistics providers handling temperature-controlled cargo, as reduced free time can increase storage costs and encourage faster cargo pickup from terminals.

The battery-powered vehicle placard requirement reflects growing volumes of electric vehicles and lithium battery shipments moving through container terminals, which require specific safety labeling and handling procedures.

Port Houston’s economic impact expanding

Jenkins also highlighted the broader scale of the Houston Ship Channel complex and the economic impact of port operations.

“As a port and side note, we are one port, and it’s got public and private facilities, by far the largest in the nation,” Jenkins said, noting the public port alone would rank among the top U.S. ports by volume.

Mariacher said operational and infrastructure improvements, along with the impact of the Houston Ship Channel expansion project, will benefit the region.

“Project 11 represents that forward-looking investment,” Mariacher said, noting the expansion improves safety, efficiency and long-term economic growth tied to freight movement.

Mariacher also emphasized how infrastructure improvements translate into operational benefits for terminals and vessel movements.

“Projects like this, they do more than move ships. They sustain American jobs, they increase the economy, they increase national security, and they support domestic manufacturing,” Mariacher said.

He added that expanded navigation and improved channel access are already improving vessel movements and terminal utilization.

“The impact is already seen, and I think we’ll continue to see it for years to come,” Mariacher said.

Noi Mahoney

Noi Mahoney is a Texas-based journalist who covers cross-border trade, logistics and supply chains for FreightWaves. He graduated from the University of Texas at Austin with a degree in English in 1998. Mahoney has more than 20 years experience as a journalist, working for newspapers in Maryland and Texas. Contact nmahoney@freightwaves.com