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Arizona is emerging as a pivotal logistics hub in the U.S., with its 130,000 miles of highway and six border ports with Mexico supporting nearly 600,000 logistics jobs, 43,000 more than pre-pandemic levels. Meanwhile, Atlanta and Charleston are expanding logistics infrastructure post-COVID-19, and Chicago remains a global leader with the third largest intermodal system. Key hubs like Houston, Memphis, and Norfolk con…

Growth and Development of Key U.S. Logistics Hubs

The logistics industry in the United States has undergone significant changes in recent years, navigating through periods of slowdowns while maintaining the crucial flow of products. Key logistics hubs across the country have expanded their capabilities and embarked on modern projects to meet increasing demands and support regional growth.

Arizona: A Growing Logistics Powerhouse

Arizona is rapidly emerging as a critical logistics hub in the United States, supported by its extensive transportation infrastructure. The state boasts 130,000 miles of highway and direct access to major routes such as Interstate 10 and Loop 101, facilitating the movement of goods to 85 million consumers within a day's reach. Additionally, Arizona's six border ports with Mexico and the presence of 12 commercial and 71 reliever airports bolster its strategic importance.

The logistics sector in Arizona is thriving, providing nearly 600,000 jobs, which is 43,000 more than before the pandemic. The state is experiencing a boom in logistics real estate, with significant rail infrastructure upgrades, including the expansion of the Union Pacific Casa Grande Yard and improvements along the Sunset Route. These developments are critical for managing inbound materials and outbound goods, addressing congestion at coastal gateways, and supporting the region's expansion.

Atlanta and Charleston: Expanding Logistics Infrastructure

Post-COVID-19, Atlanta's logistics industry has seen notable growth, driven by increased demand for fulfillment center space. Metro Atlanta, the ninth largest metro region in the U.S. with a population exceeding six million, is well-positioned to support this growth.

In Charleston County, South Carolina, logistics capabilities are also expanding. The South Carolina Ports Authority, a top 10 U.S. container port, opened the Hugh K. Leatherman Terminal in 2021, marking the first new terminal in the country since 2009. A planned intermodal facility and an intermodal container yard connected to the Leatherman Terminal will further enhance the region's logistics capacity.

Chicago and Colorado: Logistics Leaders

Chicago is a leading logistics hub globally, hosting the third largest intermodal system and the largest industrial space in the U.S. The city leads the nation in freight handling, supported by nearly 16,000 Transportation, Distribution, and Logistics (TDL) companies.

In Colorado, the logistics industry employs 215,000 workers, and the sector recovered quickly following the COVID-19 pandemic. Denver International Airport is undergoing a 39-gate expansion, and the Global Transportation and Industrial Park (GTIP) project is underway, boosting the state's logistics infrastructure.

Strategic Locations: Houston, Memphis, and Norfolk

Houston's central location, equidistant from the east and west coasts, makes it a vital logistics hub. The city is served by two international airports and four seaports, with the Port of Houston reporting 297,621 cargo TEUs in July 2021.

Memphis is another key logistics center, with more trucks passing through than anywhere else in Tennessee. It is home to the fifth largest inland port in the U.S. and all five Class 1 railroads operate in the city.

Norfolk, Virginia, benefits from its proximity to 75% of the U.S. population within a two-day drive. The Port of Virginia offers 30 international shipping services, and ongoing deepening of the Norfolk Harbor to 55 feet will enhance its capacity.

Across the United States, logistics hubs are adapting and expanding to meet the demands of a shifting economic landscape. From Arizona's burgeoning infrastructure to strategic locations like Norfolk and Memphis, these hubs play a crucial role in supporting the national and global supply chains.