CMA CGM Announces Massive $20 Billion Investment in U.S. Maritime Industry

French shipping giant CMA CGM Group has unveiled a landmark $20 billion investment plan to strengthen America’s maritime transportation, logistics, and supply chain capabilities over the next four years.

CMA CGM Group operates in 40 U.S. states, employs 15,000 Americans, and handles over 5 million shipping containers annually in U.S. trade. The company has maintained a strong presence in the United States for 35 years through its ownership of American President Lines (APL), which provides US-flagged ocean shipping services.

The strategic investment aims to create 10,000 new American jobs while strengthening U.S. shipbuilding capabilities and maritime resources. The initiative will reinforce APL’s position as the leading carrier for U.S. government cargo transportation while ensuring reliable ocean access for America’s economic and national security interests.

Rodolphe Saadé, Chairman and CEO of CMA CGM Group, emphasized the company’s commitment to American maritime infrastructure, stating, “Over the next four years, we will significantly grow our U.S.-flagged fleet, expand the capacity of key container ports on both coasts, develop state-of-the-art warehousing across the country, and establish a significant air cargo hub in Chicago.”

Saadé met with President Trump in the Oval Office on Thursday, where he teased a potential investment in shipbuilding, with full details to be released in the “coming weeks.”

“We’re also looking at investing in shipbuilding of container vessels. We would also like to increase our U.S. flag vessels from 10 to 30 ships,” he said.

It’s important to note that APL no longer participates in the U.S. Jones Act trade. However, CMA CGM could expand its U.S.-flagged fleet by registering either newbuild or existing ships built outside the United States to the U.S.-flag.

According to CMA CGM, the investment plan encompasses several key initiatives:

Maritime Infrastructure Development: The Group will enhance port infrastructure in strategic locations including New York, Los Angeles, Dutch Harbor, Houston, and Miami. These improvements will boost operational efficiency, digital connectivity, and cargo safety.

Air Cargo Expansion: A new hub in Chicago will feature five Boeing 777 freighters operated by American pilots, strengthening the nation’s air cargo capabilities and ensuring reliable transportation of time-sensitive goods.

Innovation and Research: A new logistics R&D hub in Boston will focus on advanced robotics and automation solutions, developed in partnership with American technology companies.

CMA CGM’s announcement said the investment will involve the development of state-of-the-art warehousing and automotive logistics platforms nationwide, seeking to enhance the security and reliability of domestic supply chains.

The investment is particularly significant given CMA CGM’s position as the world’s second-largest ocean carrier, holding 12% of global container shipping capacity. According to Alphaliner, the company is poised to surpass Maersk in TEU capacity based on its current order book.

The comprehensive investment strategy follows President Trump’s recent announcement of initiatives to bolster domestic shipbuilding, including the creation of a White House office of shipbuilding and new tax incentives for domestic shipbuilders. A corresponding executive order is in development.

CMA CGM’s announcement also come amid a new U.S. Trade Representative proposal targeting Chinese maritime operations with substantial port fees of up to $1 million per U.S. port call for Chinese-operated vessels and up to $1.5 million for Chinese-built vessels. The plan also includes additional port fees for operators based on the percentage of their order book that is placed at Chinese shipyards.

Notably, both CMA CGM and APL operated Chinese-built ships. According to a recent analysis by Alphaliner, CMA CGM operates 274 ships constructed in China and has 52% of its order book placed at Chinese shipyards.

CMA CGM also participates in a vessel-sharing alliance called OCEAN Alliance with several Asian shipping lines, including China’s COSCO. Last week, CMA CGM cautioned that U.S. port fees on China-built ships would significantly impact all shipping companies.

The USTR’s proposal further introduces a progressive cargo preference requirement, mandating that U.S. exports gradually shift to U.S.-flagged vessels – from 1% immediately to 15% within seven years. 

In 2023, CMA CGM acquired two key container terminals at the Port of New York and New Jersey, expanding the French shipping company’s terminal footprint in the United States to seven facilities. The acquisition marks CMA CGM’s latest expansion in the U.S. following a 2021 deal to buy back its 90% stake in the Fenix Marine Services (FMS) terminal at the Port of Los Angeles. The company had previously sold the stake in 2017, at less than half the value, to help fund its takeover of Singapore’s Neptune Orient Lines (NOL).

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