- Details
- By Chez Oxendine
- Economic Development
The Puyallup Tribe is breaking into global maritime commerce by building its own international shipping terminal on tribal land in southwest Washington, marking one of the first direct entries by a Native nation into the port infrastructure business.
After three decades of exploring options for its “most valuable piece of property,” the tribe will transform the 22-acre site into a tribally owned shipping terminal through a landmark partnership with a regional port authority.
The tribe has partnered with the Northwest Seaport Alliance (NWSA) to construct and operate a new shipping berth next to an existing one on the East Blair Waterway. The NWSA — a marine cargo operating partnership of the Port of Seattle and Port of Tacoma — is the seventh-largest gateway in North America.
The project, tentatively named the Puyallup Tribal Terminal, aims to expand the region’s shipping capacity and boost economic activity for all participants. The tribe and NWSA will jointly market both facilities, while Puyallup Tribal Enterprises will operate the new berth. Puyallup Tribal Enterprises CEO Matt Wadhwani told Tribal Business News the partnership arose from the tribe’s proximity to the port.
“They're our neighbor. It made sense for us to get more efficiency and work together,” Wadhwani said. “It's been a dream of the tribe to get our own international port to set up. It really checked all the boxes and created not just a win-win for the tribe but for everybody.”
The tribe intends to construct the new pier on approximately 22 acres of tribal property, with construction expected to cost $200 million, per a tribal spokesperson. The new terminal will feature capabilities comparable to the existing EB1 port, including on-dock rail and carbon reduction technology.
The partnership will also include a program to provide training and job opportunities in the maritime environment for tribal members. Operating income generated by both terminals will be divided between the tribe and the NWSA in a revenue-sharing agreement.
(Front row, from left) Port of Tacoma Commission President John McCarthy, Puyallup Tribal Chairman Bill Sterud, and Port of Seattle Commission President Toshiko Hasegawa signed an agreement to build and operate a Puyallup-owned terminal on the East Blair Waterway. (Photo: Puyallup Tribal Enterprises.)
The NWSA handled roughly $70 billion of waterborne trade across 180 trading partners in 2022. The waterway drives roughly $12.4 billion in economic activity, including 58,000 jobs across the state of Washington, according to the NWSA website.
The tribe will fund, construct, and own the Puyallup Tribal Terminal, including all maintenance, repair, and replacement of facilities. The NWSA will continue to manage cargo activities at EB1. Both parties will co-market the services and capabilities of both terminals. The NWSA will provide technical support to ensure consistency and efficiency between the piers.
Wadhwani pointed to that technical support as a factor in seeking out cooperation with the NWSA. “When it comes to operating the port, we don't have any experience, so working with a reliable partner with a ton of existing customers made a lot of sense for both parties,” he said.
The Puyallup tribe’s entry into maritime infrastructure, while groundbreaking in its scale, follows efforts by other tribes leveraging waterfront access for economic development. The Suquamish Tribe signed a memorandum of understanding in January this year with the Port of Seattle for collaborating on economic development initiatives. Some tribes outright own or manage entire ports, such as the nearby Lummi Nation or the Aleut Alaska Native Corporation, which manages the Port of Adak in Alaska.
The Puyallup project, though, represents one of the most significant direct investments in shopping infrastructure by a tribal nation. The Puyallup Tribal Council, the tribe's governing body, called the arrangement “historic” in a statement provided to Tribal Business News.
“We are excited to enter this business relationship with The Northwest Seaport Alliance and continue to expand the Puyallup Tribe’s ventures on our homelands,” the council wrote. “Not only will this be a benefit to the NWSA, Port and region, but it will also allow future opportunities for our Tribal Members.”
John McCarthy, president of the Port of Tacoma Commission, said the arrangement marked a new pledge to collaborate with the tribe, while his counterpart at the Port of Seattle, Toshiko Hasegawa, said the partnership was a chance to strengthen supply chains and invest in tribal employees.
The Puyallup Tribe has been actively diversifying its economic base in recent years, with ventures in aviation, seafood, logistics, and other sectors. In January, the tribe expanded its transportation portfolio by extending seasonal seaplane service with Kenmore Air, adding international flights between Tacoma and Victoria, British Columbia. In the past year-and-a-half, the tribe launched Tahoma Construction Services, acquired a candy manufacturer, and invested in a battery maker planning a factory near Tacoma.
The new terminal is a significant step in the tribe’s long-term economic development plans, providing direct use for the tribe’s manufacturing and global logistics companies, Wadhwani explained.
“This is the right path,” Wadhwani said. “This is where we want to go.”
