The Spanish government has authorized the northern expansion of the Port of Valencia by greenlighting the construction of a new container terminal. This initial phase could become operational within five years and will be operated by MSC. A group of large construction firms has formed a temporary joint venture to bid for this expansive project, signaling a competitive bidding process for a pivotal piece of national infrastructure.
In a session chaired by vice-president Yolanda Díaz, the Council of Ministers approved the Port Authority of Valencia to issue the tender for future construction works, despite opposition from representatives of Sumar. The plan centers on a pier where New Won will dock, covering 136 hectares with a capacity for 5 million containers. Shortly after the government’s approval, the Port Authority of Valencia announced a special board meeting for Friday with a single agenda item: the approval of the tender specifications. The northern extension is the focus of this development.
Valenciaport’s leadership described the decision as historic for the port authority, thanking the Ministry of Transport, the regional government, the city council, and predecessors for their efforts in making the project possible.
northern extension
The tender, valued at approximately 656.7 million euros (excluding VAT), covers the construction work for the container dock at the northern terminal of the Port of Valencia. The project is expected to attract attention from major port construction firms, including Dragados (ACV group), Flota Proyectos Singulares, Cyes, Sedesa Obras and Services, Somague Engenharia, and Sacyr.
The government’s announcement, made by the Minister of Transport and Sustainable Mobility, stresses that the project is a step up in terminal construction while adhering to strict environmental criteria. The plan also aims to divert freight traffic from roads to rail, aligning with broader sustainability goals.
The new container terminal will run on electricity powered entirely by renewable sources and will feature a fully automated warehouse area along with an adjacent 1,000-meter-long, six-track railway terminal. This rail terminal is projected to become the largest in a Spanish port, significantly boosting rail-based freight movement. Operators will benefit from a modern, flexible, and sustainable container terminal capable of handling state-of-the-art Megamax vessels up to 430 meters in length.
The expansion is designed to help the port address near-saturation levels and to sustain its status as a key node in global container traffic.
Under the project structure, the Valencia Port Authority will oversee the construction of basic infrastructure, including dredging, quay work, and the consolidated embankment. The superstructure, facilities, and rolling stock will be funded by TIL, a company associated with MSC. The northern extension will introduce an extensive rail loading and unloading network, effectively quadrupling the port’s current rail capacity and making it the most expansive rail terminal ever built within a Spanish port system.
truck access
The Valencian Federation of Transport and Logistics Entrepreneurs welcomed the northern terminal approval but urged that truck access be integrated into the project. They highlighted the importance of maintaining road connectivity for freight traffic alongside the heavy emphasis on rail efficiency.
According to the federation, the latest statistics from the Valencian Port Authority underscore that trucks move a substantial portion of goods into and out of the port, making road access a critical consideration for overall port functionality.
FVET’s president emphasized that Valencia’s port identity is inseparable from its northern terminal and noted the need for robust road access to support residential and commercial needs in adjacent areas.
attacks in the red sea push gas and oil prices
Recent attacks on cargo and fuel ships in the Red Sea have driven fluctuations in gas and oil prices. Futures markets reflect rising fuel costs as tensions escalate due to Houthi actions linked to Yemen and regional dynamics. Energy majors have reduced tanker sailings, affecting energy costs and industrial input prices. For the Valencian community, fuel costs influence electricity prices because a portion of electricity is generated by gas-fired plants. The Red Sea remains a critical transit route for oil and liquefied natural gas moving from Arab regions toward Europe.
Global shipping companies, including MSC, Maersk, CMA CGM, and Hapag-Lloyd, have announced adjustments to routes in the Red Sea. These carriers collectively hold a substantial share of the world market. The Suez Canal remains a key corridor; some routes are being shortened to avoid longer journeys around Africa, reducing travel distances by thousands of kilometers.
Since the onset of conflict in the region, Yemeni Houthi actions have prompted shipping diversions toward the Cape of Good Hope. In response to security concerns, major carriers have redirected vessels toward the African perimeter. These shifts affect global supply chains and regional shipping costs, with implications for ports and freight operators in Europe and beyond.