Montgomery Will Open Intermodal Rail Terminal in 2027

The $100 million Alabama Port Authority facility will connect central manufacturers to the Port of Mobile.

Updated on Sept. 22, 2026 in Transportation

Isometric editorial illustration of a gantry crane and stacked shipping containers in a rail yard. — The Alabama Port Authority expects its new $100 million intermodal rail terminal in Montgomery to open in 2027, boosting manufacturing logistics. AI Illustration. Upload story photo >

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The Alabama Port Authority is constructing a new 272-acre intermodal container transfer facility in Montgomery. Scheduled to open in early 2027, the terminal will provide essential rail connectivity between central Alabama and the Port of Mobile.

Why it matters

This facility aims to streamline logistics for central Alabama manufacturers by offering a direct link to the coast. By integrating rail service at this hub, the project expects to improve supply chain efficiency for regional industrial output.

The terminal carries a total development cost of $100 million and covers 272 acres of land. The design incorporates over 25,000 feet of rail track to facilitate intermodal transfers between regional manufacturing hubs and the national rail network.

The players

Alabama Port Authority

This government entity manages the state's maritime and inland intermodal assets to support international trade and logistics.

Konecranes

This global manufacturer specializes in lifting equipment and industrial cranes for port and terminal operations.

Federal Railroad Administration

This federal agency under the U.S. Department of Transportation oversees the safety and regulatory standards of the national rail network.

CSX

This major Class I railroad company operates an extensive network of tracks and freight services across the eastern United States.

The details

Located near the intersection of Interstate 65 and Interstate 85, the terminal features a rail siding and a bridge over the CSX main line. The Alabama Port Authority has already secured two rubber-tired gantry cranes from Konecranes, with site grading and underground utility work finished.

October 2024: Federal Railroad Administration completed the environmental review.
February 2025: The project officially broke ground.
Late 2026: Expected delivery date for the gantry cranes.
Early 2027: The terminal is scheduled to begin operations.

Construction
Sept. 21
Montgomery Began Construction on New Parking Deck
City Hall
Sept. 23
Montgomery City Council Approved 2027 Fiscal Budget
Awards
Sept. 22
Innovate Alabama Honored 26 River Region Organizations

Market Landscape

This facility signals a broader shift toward inland port development as regional authorities seek to alleviate congestion at coastal gateways. By extending rail connectivity deep into central Alabama, the project strengthens the competitive position of the region's manufacturers.

Local businesses and industrial shippers should anticipate lower logistics costs once the facility begins managing container traffic. Residents near the construction zone should expect ongoing heavy machinery activity until the planned 2027 operational date.

The takeaway

The addition of this facility marks a significant expansion of Alabama's intermodal infrastructure capacity. Companies operating in central Alabama should evaluate their current freight strategies to account for the new rail link available in 2027.