International Container Terminal Service Inc. (ICTSI) is forging ahead with the development of a major new deepwater container terminal, the South Luzon Container Terminal

The phased development of the new deepwater South Luzon Container Terminal (SCLT) commenced in earnest in January this year. Located nine kilometres from Batangas City, SCLT will offer the dual assets of relieving the pressure on the Manila container terminals and offering a highly efficient gateway for nearby manufacturing activity and fast-growing metropolitan centres.

South Luzon, particularly the Calabarzon region (Cavite-Laguna-Batangas), is the Philippines’ primary industrial hub, contributing 15% to the national GDP as of late 2025. Driven by manufacturing firms active in electronics, automotive parts, and consumer goods, the region is seeing high demand for industrial space, with major expansion at LIMA Estate in Batangas.

The overall need for SLCT – import and export requirement for containerised goods – is plain to see and aside from the modern port infrastructure and superstructure that will be implemented the terminal’s efficiency will be additionally enhanced by extensive surrounding road and rail projects. There are, for example, four major road projects that are expected to make a major impact in terms of refining connectivity within and extending SLCT’s hinterland reach. The four projects comprise SLEX Toll Road 4 (TR4) Extension; the Cavite-Laguna Expressway (CALAX), Cavite-Taqaytay-Batangas Expressway (CTBEX) and the Bataan-Cavite Interlink Bridge.

Table 1: Key Technical Features of SLCT
 Phase OneFull Build
Quay 400m 800m
Depth -18m -18m
Quay Capacity 990,000TEU 2mTEU
Land Footprint 27ha 38ha
Remotely operated Super Post-Panamax Ship-to-Shore gantries 4 8
Yard Capacity 776,000TEU 2mTEU
Container Shuttle Carriers 10 20
Rail Mounted Gantries 8 20
Empty Handlers 6 12
Sub-Station & Power Generation Systems Completion 2028 As volume dictates

Looking deeper into the first project, for instance, with industrial parks in Laguna and Cavite nearing capacity, the improved SLEX connectivity complements the increasingly high interest in new industrial sites, supporting the Philippines’ goal of becoming a major Asian manufacturing hub.

“SLCT is designed to make Southern Luzon more connected and competitive, by building capacity closer to manufacturing and export hubs, the project aims to reduce logistic steps, shorten lead times and expand options for shippers,” underlines Phillip Marsham, Executive Director ICTSI Philippine Sub Region. And adds: “Our market analysis has been extremely positive with reductions of up to 25% in logistic costs cited by key players in the manufacturing sector.”

DEVELOPMENT PLAN
Currently the SLCT development site operates as Baun International Port, primarily serving ro-ro operations but this is soon to change with SLCT’s initial marine construction works underway since January.

The US$800 million project will be implemented in phases, over two years, with commercial operations scheduled to commence in 2028.Initial capacity will be near 800,000TEU/yr rising to two million TEU/yr on full build.

Facing Batangas Bay, the terminal sits in a natural cove, and is protected from adverse weather conditions by several islands.

The key technical features of SLCT are detailed in Table 1. Marsham states: “SLCT will be one of the Philippines largest international container gateways featuring state-of-the-art technology and designed to handle the largest vessels predicted to call in the region over the long term. Major decarbonisation goals are accommodated in the design as well as new generation digital technology, driving efficiency at all key levels.