The last legal obstacle to the renovation of the Durban Port’s Pier 2 terminal has been lifted by the KwaZulu-Natal High Court. This crucial project, developed through a public-private partnership between Transnet and the Philippine company ICTSI (International Container Terminal Services Inc.), represents a strategic investment of 11.1 billion rand (approximately USD 640 million) aimed at improving South Africa’s logistics performance.
On October 10, the KwaZulu-Natal High Court dismissed the appeal filed by APM Terminals, which had contested the awarding of the 25-year concession contract. This ruling allows Transnet and its partner to begin modernization work at the Durban Container Terminal Pier 2.
The project is vital for South Africa, whose main port has long struggled with severe congestion and efficiency problems. Pier 2 plays a central role, handling around 72% of Durban’s container traffic and nearly 46% of the country’s total container volumes.
The modernization, which had been suspended since 2024, will resume over a five-year period. The works include deepening the berths and access channel—from 12.8 to 16.5 meters—to accommodate larger vessels. The berthing area will also be extended from 914 to 1,210 meters, enabling the terminal to serve three Super Post Panamax container ships (350 meters long) simultaneously.
This initiative aims to restore Durban’s competitiveness compared to other major regional hubs such as Tanger Med in Morocco and Port Said in Egypt. It is also expected to enhance South Africa’s logistics corridor, facilitating exports from the mining, agricultural, and manufacturing sectors.
The project forms part of Transnet’s broader recovery strategy. The state-owned company has been weakened in recent years by the deterioration of its rail network and inadequate port infrastructure—factors that have weighed heavily on the country’s economic growth.
The urgency of the renovation is highlighted by the losses incurred, including 5.27 billion rand (around USD 280 million) for the citrus industry in 2024, and a cumulative shortfall of approximately 140 billion rand (about USD 7.5 billion) in coal exports between 2021 and 2023.
For the Pretoria government, revitalizing the Port of Durban goes beyond a simple infrastructure upgrade—it is seen as a key driver to rebuild investor confidence and stimulate economic growth.
