$1.16B loan backs Montreal port expansion to boost trade capacity

Canada Infrastructure Bank is lending $1.16 billion to the Montreal Port Authority to support construction of a major container terminal expansion aimed at strengthening Canada’s trade capacity.

The Contrecœur terminal project, located about 40 kilometres northeast of Montreal, is expected to increase container capacity at the Port of Montreal by up to 1.15 million twenty-foot equivalent units annually, roughly 60 per cent of its current throughput.

Backed by federal and provincial funding, the project is part of a broader push to diversify trade beyond the United States and bolster supply chain resilience. The Government of Quebec is contributing $130 million, while Transport Canada is providing $150 million.

Construction on key marine infrastructure began in October 2025 and is being carried out by a joint venture between Aecon Group Inc. and Pomerleau. Work on terminal and logistics infrastructure is expected to begin in 2027, with operations targeted for 2030.

The project is to be financed largely through private-sector participation, with more than 85 per cent of infrastructure costs ultimately borne by users over time. DP World is in exclusive discussions to operate the terminal.

The Canada Infrastructure Bank said its involvement will help lower financing costs and allow the port authority to maintain its credit rating while continuing day-to-day operations.

The Montreal Port Authority (MPA) estimates the project will generate thousands of construction jobs and support hundreds of thousands of supply chain-related positions, with more than $750 million in annual economic benefits once operational.

The federal government has designated the project as nationally significant, citing its role in expanding Canada’s eastern trade gateway and improving access to European and Mediterranean markets via shorter shipping routes.

Environmental considerations include using existing infrastructure such as Highway 30 and a CN rail connection, as well as meeting hundreds of conditions set by the Impact Assessment Agency of Canada.

“Canada’s trade future depends on infrastructure that is ready before demand arrives, not after,” said Nathalie Pilon, chair of the MPA. “The Contrecœur terminal is exactly that kind of forward-looking investment. It will anchor Montreal’s role as a gateway to global markets. The MPA has worked closely with our federal and provincial partners to bring this project to fruition, and with the help of the private sector, we will deliver lasting value for thousands of companies from across Quebec and Canada.”