The global port construction sector is witnessing significant investments across various regions, with Southeast Asia leading the pack with a project pipeline amounting to $113.1bn, according to a recent report by UK analytics firm GlobalData.
The projects, in stages ranging from pre-planning to execution, are expected to boost spending to $7.1bn in 2025 and $12.6bn in 2026.
Indonesia, Myanmar and Vietnam are the top contributors, with public investment accounting for 52.3% of the pipeline value.
South Asia follows closely with a total project value of $81bn, primarily driven by India, which accounts for 80.2% of the pipeline value. The Indian government’s recent announcement to develop six port clusters into what it calls Mega Ports by 2047 is a significant contributor to this figure.
Future opportunity
The IMF identifies South Asia as a region with high potential for trade growth, further boosting the region’s port construction projects.
Eastern Europe’s port construction projects, valued at $32.8bn, are primarily concentrated in Russia and Poland, accounting for 34.9% and 27.1% of the pipeline value, respectively. Public investment funds the majority of these projects, contributing to 69.6% of the pipeline’s value.
In North America, the US is seeing a significant increase in public investments in port projects, contributing to the project pipeline. The $662m Port of Nome Modification Project in Alaska is one of the country’s major projects and is expected to begin construction by Q3 2025.
Western Europe, despite being a developed region with established ports, has a relatively low level of investment in port construction projects due to overcapacity and lower utilisation.
Recent global merchandise trade increases have led to congestion at European ports, highlighting their vulnerability to large demand shocks and global supply chain disruptions. Despite the ongoing tariff tensions and trade policy uncertainty, the global port construction sector continues to grow, driven by the need for economic growth and development.
In the Middle East and North Africa (Mena) region, government investments in new port developments are expected to support economic growth and boost trade. The countries in this region heavily rely on exporting oil-based products and other commodities. Mena is a major exporter of petroleum products and a significant importer and exporter of liquefied natural gas (LNG), primarily driven by the GCC countries.
Port infrastructure is crucial for Mena countries, and there is strong ongoing investment in new developments. The project pipeline in Mena will reach more than $7.4bn between 2025 and 2027. New projects account for 82.9% of the project pipeline value, while expansions make up the next largest share at 13.5%.
Globally, the sector also faces several downside risks, including regional conflicts, geopolitical tensions, tariff wars and policy uncertainty. Therefore, short- to medium-term investment in ports across these regions will be crucial for future expansion.
