The Port Authority of New York and New Jersey 1 The Port Authority of New York and New Jersey: Global Changes, Regional Gains and Local Challenges in Port Development Jean-Paul Rodrigue Department of Economics & Geography, Hofstra University, Hempstead, New York 11549, USA THIRD VERSION In press, Les Cahiers Scientifiques du Transport, February 2004. Abstract The interplay between globalization and maritime transportation has been the focus of much attention. Under such a context, the port authority is often perceived as an entity increasingly under the pressure to cope with the demands of global maritime shippers and with local constraints pertaining to port development (e.g. better terminals, efficient inland distribution and environmental protection). This article investigates the relationships between global changes and the local challenges of the Port Authority of New York and New Jersey, one of the most diversified port authorities in the world. A wide array of facilities including office space, bridges and tunnels, industrial development zones, waterfront developments, airports, transit systems and, finally, port terminals are under its jurisdiction. It is argued that even if port activities represent a small share of the port authority’s assets, it has an enduring commitment to port development. From traditional responses such as terminal improvements and dredging, the port authority is developing new strategies aimed at port regionalization such as terminal access and inland distribution systems. Keywords: Globalization, Port Development, Maritime Terminals, Port Authorities, New York and New Jersey. 1.0 Introduction Maritime shipping and port development have been shaped by many forces over the last half century. Geographically, the global economy has become tri-polar with North America, Western Europe and Pacific Asia as its dominant poles handling the majority of the commercial, financial and distribution functions. The later is obviously assumed in large part by maritime transportation which accounted for about 71% of all the tons-km shipped globally. Substantial changes have concomitantly occurred in the maritime sector, notably: • A growing demand for energy and raw materials and their related long distance maritime flows. • A commodification of the economy implying rising consumption and distribution. • The emergence of global commodity chains with fragmented functions of production, distribution and consumption.