HMM to Expand and Develop Algeciras Container Terminal in Spain

HMM to Invest 56 Billion KRW Out of Total 240 Billion KRW
Annual Capacity to Expand to 2.1 Million TEU by 2028

HMM will expand and develop the Algeciras Container Terminal (TTIA) in Spain.

The 24,000 TEU container ship "HMM Algeciras" calling at the Algeciras Terminal (TTIA) in Spain. Provided by HMM

HMM announced on July 2 that it had submitted a letter of intent to invest in the first-phase development of the southern site of TTIA to the Algeciras Port Authority in Spain on June 30. The total investment amounts to 150 million euros (approximately 240 billion KRW), of which HMM plans to invest 35 million euros (about 56 billion KRW). The remaining amount will be financed through the second-largest shareholder, CMA CGM, and external borrowing.

Previously, in 2017, HMM acquired 100% of the shares in TTIA. In 2020, to form a strategic alliance, HMM sold a 50%-minus-one-share stake to the French shipping company CMA CGM.

TTIA is a modern semi-automated terminal with a total area of 300,000 square meters and an annual capacity of 1.6 million TEU (1 TEU = one 20-foot container). Through this first-phase development, the total area will be expanded to 460,000 square meters and the annual capacity to 2.1 million TEU by 2028. Upon completion of the future second-phase development, the terminal will be able to handle 2.8 million TEU annually. To ensure smooth development, HMM stated that it will extend the terminal operation period by 22 years, from the current 2043 to 2065.

An HMM official stated, "The Algeciras Terminal serves as a major transshipment hub in Southern Europe and a gateway for Spain’s imports and exports. It will play a significant role not only in generating terminal profits but also in strengthening the competitiveness of our European routes," adding, "We plan to continue actively investing in and developing overseas terminals in the future."