International Container Terminal Services, Inc (ICTSI), based in the Philippines, is bedding down its operations at Pier 2 in Durban. It has been operating there for about six months of its 25-year contract.
Durban Container Terminal (DCT) Pier 2 is Transnet’s biggest container terminal, handling 72% of the Port of Durban’s throughput and 46% of South Africa’s port traffic, according to Transnet.
In response to questions sent by Freight News, a spokesperson for ICTSI said: “ICTSI’s operations at Durban Gateway Terminal commenced on January 1, 2026. Implementation of our long-term development programme is in the early stages.
“Our immediate operational focus is on serving our clients effectively and efficiently, including supporting the upcoming citrus season, which is an important period for South Africa’s agricultural exporters.
“ICTSI is deeply committed to establishing Durban Gateway Terminal as the gateway for South Africa’s trade with global markets and the premier trade hub in the region.”
The public-private partnership between Transnet and ICTSI follows a tendering process launched in 2023. It was delayed due to a legal dispute by rival bidder APM Terminals, which is a division of Maersk.
Following the dismissal of the legal application by the Durban High Court, Transnet and ICTSI signed a joint operating agreement in December 2025.
At the signing ceremony, Transnet group chief executive Michelle Phillips said: “Private sector participation transactions are an important element of our strategy to modernise, expand and improve our key assets.
“It is also a big step in our efforts to improve efficiencies across our terminals and transform our ports into world-class hubs.
“This is consistent with our approach to enhance efficiency and growth through strategic partnerships. Private-sector participation in ports has the potential to positively influence efficiencies, export processes and global competitiveness.”
Planned upgrades are set to increase Pier 2’s annual capacity from two million to 2.8 million TEUs, raise gross crane productivity from 18 to 28 moves per hour, and double vessel working hours from 60 to 120.
In July 2023, when Transnet announced the selection of ICTSI as the preferred operating partner, an official statement read: “The partnership with ICTSI will help reposition the terminal for best practice performance, ensuring growth in volume throughput, and will support the terminal in providing operational and commercial support to access global shipping line call routes.
“This will not only improve the logistics associated with servicing South African ports, but will also play a significant part in stimulating exports and imports. This is a growth strategy for Transnet, where Pier 2’s current capacity of two million TEUs is planned to increase to 2.8 million TEUs.
“This is aligned with plans by Transnet National Ports Authority to increase the current container capacity in the Port of Durban from 3.3 million TEUs to an eventual envisaged capacity of 11.4 million TEUs.”
