Our Port Region Amid Tariffs, Storms, and Global Growth
The Houston port region continues to serve as a cornerstone of U.S. maritime commerce, supported by its strategic location, expansive petrochemical infrastructure, and visionary leadership. Earlier this year, the Economic Alliance Houston Port Region led a delegation to Washington, D.C., where we had the opportunity to advocate for our region’s priorities and emphasize its critical role in the national economy. Over the course of two days, we conducted more than 30 meetings with federal officials, and it was an impactful effort to ensure our elected representatives are informed and engaged. As we look toward the second half of 2025, three key issues remain central to our advocacy on behalf of the Houston Ship Channel and its facilities: the evolving impacts of U.S. tariff policies, the urgent need for hurricane preparedness, and the growing international significance of the Houston port region in global trade.
Tariff Policies and the Gulf’s Strategic Resilience
As global trade tensions continue, U.S. tariff policy remains a powerful force influencing supply chains across the nation. The recent adjustments, particularly increased tariffs on key industrial components from China and select countries, are already being felt by U.S. manufacturers and some petrochemical exporters. These changes have the possibility of rising costs, increased supply delays, and maybe the need to reroute certain cargoes through alternative ports or suppliers.
While some sectors have been buffered by strategic trade agreements, the broader effect on the Houston Ship Channel is clear: flexibility and adaptability are paramount. Despite these challenges, our port region’s status as a first-in-class port for waterborne tonnage allows it to weather these disruptions better than most. Investments in digital supply chain visibility and expanded intermodal connectivity continue to provide options, making us not just a port of call, but a port of confidence.
2025 Hurricane Season: Preparing for the Worst, Protecting the Best
The National Oceanic and Atmospheric Administration (“NOAA”) has forecasted an “above-normal” 2025 hurricane season, citing record-high Gulf water temperatures and evolving climate patterns. For a port region as critical and vulnerable as Houston, this means preparation is not optional; it is essential.
Port stakeholders are doubling down on resilience planning. From flood mitigation projects and hardened terminal infrastructure to emergency communication protocols and backup power systems, lessons from Hurricanes Harvey, Ike, and Beryl are informing a new generation of defensive strategies. In my case, when working with our port partners, I put on my Coast Guard hat and apply all the lessons I learned during my 26-year career. The key to our success is to ensure public and private partners are working collaboratively to guarantee that operations can be restored quickly if disaster strikes. The U.S. Army Corps of Engineers continues to advance storm surge protection initiatives, while terminal operators are integrating risk simulations and scenario planning into their daily operations. As we know, any day the port is closed to commercial vessels, it comes with a price tag of almost $3 billion in economic activity!
Global Spotlight: Houston's Rising Role in International Trade
Recent years have seen a notable increase in foreign interest in Houston’s port-related logistics and manufacturing sectors. With several new investment announcements and international trade missions in 2024 and early 2025, the region is gaining momentum as a global business destination
A combination of factors drives this growth: the U.S. Gulf’s energy dominance, Houston’s multimodal capabilities, and the regional workforce’s strength. Delegations from Europe, Asia, and Latin America have increasingly made Houston a top destination for trade missions, port tours, and investment discussions. I continue to work closely with our friends from Panama and just recently provided a lecture at the Rice Executive forum to representatives from the port of Veracruz. Partnerships with Latin American ports are expanding, creating new cross-Gulf routes that position Houston as a trade bridge.
As 2025 unfolds, our maritime sector finds itself at a pivotal intersection, facing external pressures from tariffs, internal demands for resiliency, and unprecedented global attention. How we navigate these currents will define our region’s legacy and future. The team at the Greater Houston Port Bureau, alongside our members and partners, will remain committed to advancing strategies that keep our region competitive, protected, and globally connected.
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About the Author
CAPT Eric Carrero, USCG (Ret.), joined the Greater Houston Port Bureau as president on July 1, 2023. He has 26 years of service in the U.S. Coast Guard, with experience in international affairs, port and vessel operations, and serving in the Sector Houston-Galveston from 2013-2021. CAPT Carrero holds a bachelor’s degree in biology from the University of Puerto Rico and a master’s degree in environmental management and policy from the American Public University System.