The South Carolina State Ports Authority approved a $720,000 design contract Friday for rail and cargo yard improvements at its North Charleston terminal, the first step in moving some vehicle exports from Columbus Street Terminal in downtown Charleston.
The agency said the shift would help reduce flood risks for vehicles, including BMWs built in the Upstate, and free space at Columbus Street for additional breakbulk cargo, or cargo that does not fit in containers.
“We made a commitment to our various constituencies — our board and the regional supply chain entities that depend on us to grow — that we would focus our investment on immediate revenue-generating opportunities or capacity,” authority President and CEO Micah Mallace said. “We’ll find creative new ways to monetize our real estate, which we have a fair amount of. This is the first one.”
Rail improvements there will allow state-owned Palmetto Railways to work with Norfolk Southern and CSX to move vehicles to the new export center. Palmetto Railways President and CEO Patrick McCrory said the project would expand existing rail capacity and support future cargo growth.
Flooding has affected Columbus Street Terminal for years. In 2024, hundreds of BMWs parked there were damaged by saltwater intrusion. The authority has studied raising the 155-acre site, installed water-moving equipment, bought removable flood barriers, and spent $2 million on a backup staging area at Leatherman Terminal.
Columbus Street Terminal, opened in the late 1950s, serves BMW, Volvo Cars, Mercedes-Benz Vans, and breakbulk customers. It can handle more than 250,000 vehicles a year and moved 116,328 exported vehicles in the first nine months of the fiscal year that began July 1.
Work on the North Charleston vehicle export site will begin next year, with operations expected in 2028.