Shipping industry news, South Korea’s flagship liner company HMM is interested in participating in the bidding for Tecon 10, the largest container terminal at Brazil’s Santos Port.
HMM stated, “We are considering participating in the Tecon 10 bidding, and this potential investment aligns with HMM’s strategic objectives.”
HMM already operates terminals at Busan Port as well as in Europe and the U.S., and plans to invest 42 trillion won ($3.04 billion) by 2030 to secure terminal assets. The newly appointed CEO Choi Won-hyok, who previously headed South Korean logistics giant LX Pantos, has made infrastructure investment a cornerstone of his strategy.
The bidding for Santos Port’s Tecon 10 container terminal has drawn significant industry attention. In June, the Brazilian government launched the tender for a 25-year concession. To reduce monopolistic influence, restrictions on existing terminal operators were proposed based on recommendations by Caio Farias, head of Brazil’s National Waterway Transportation Agency (Antaq). Existing operators, including Maersk and Mediterranean Shipping Company (MSC), were barred from participating in the first round of bidding. However, they may join the second round if the first round fails.
A Brazilian judge has dismissed Maersk’s challenge to this restriction. According to shipping industry reports, Brazil’s JBS, HMM, and other operators have expressed interest in the tender.
Reports indicate that the winning bidder will need to invest nearly $1 billion over the 25-year concession period, with the goal of increasing Santos’ container throughput by 50% using Tecon 10.
Additionally, the Santos Port Authority aims to complete the bidding process by December.
