October 28, 2026
The Government of Canada is investing up to $254 million through the Trade Diversification Corridors Fund to support the Saint John Trade Corridor project in New Brunswick, a major infrastructure initiative designed to increase cargo capacity, improve rail and marine connections and strengthen Port Saint John as an Atlantic Canadian trade gateway.
The project is being advanced in partnership with the Government of New Brunswick’s Regional Development Corporation, Saint John Port Authority, New Brunswick Southern Railway and the New Brunswick Department of Transportation and Infrastructure.
The Saint John Trade Corridor project includes a series of infrastructure improvements intended to increase the port’s ability to handle between 850,000 and one million twenty-foot equivalent units (TEUs) annually.
Warehouse capacity will be expanded and upgraded to accommodate additional and higher-value cargo while reducing dwell times.
Marine infrastructure improvements and dredging are also planned to accommodate larger vessels and reduce delays associated with tidal conditions. According to the federal government, the improvements are expected to increase the number of high-water tidal windows available to fully loaded vessels at deeper draughts by at least 30 per cent.
These improvements are intended to help Port Saint John attract additional shipping services and provide shippers with another routing option when other North American gateways experience congestion or disruption.
Rail infrastructure represents another major component of the project.
Approximately 103 kilometres of New Brunswick Southern Railway track will be upgraded with continuously welded rail.
The improvements are expected to increase mainline speeds to 64 km/h, reduce freight transit times between Port Saint John and Class 1 railway connections and increase freight capacity, fluidity and rail safety.
The project will also stabilize the shoreline at the Bayshore Rail Terminal. This work is intended to protect the only rail access serving Port Saint John and preserve rail capacity and terminal operations as cargo volumes increase.
The Saint John Trade Corridor project also includes reconstruction of Simms Corner.
The work will separate rail and road traffic, with the goal of improving safety and reducing transportation delays.
Together with the railway upgrades, the project is intended to strengthen the movement of freight between the port, regional transportation infrastructure and Canada’s broader national rail network.
A new Canada Border Services Agency container examination facility is also included in the infrastructure program.
The facility is intended to support growing container volumes and strengthen the port’s ability to process international cargo as Port Saint John expands its role in Canadian trade.
The federal government says the facility will be supported by a portion of 1,000 newly recruited CBSA officers.
The new investment builds on more than $76 million previously provided through the National Trade Corridors Fund for infrastructure supporting Port Saint John.
Combined with recent investments in cold-chain infrastructure, the latest improvements are intended to expand the port’s ability to handle discretionary and temperature-sensitive cargo while strengthening north-south trade connections.
The federal government says expanding Saint John’s port, rail and transportation infrastructure will help Canadian businesses reach additional international markets while providing greater resilience within the national supply chain.
The funding is being provided through the Trade Diversification Corridors Fund, a $5 billion federal initiative introduced in Budget 2025 to strengthen Canadian trade corridors and support long-term economic growth.
Federal Transport Minister Steven MacKinnon said modernizing transportation infrastructure and expanding capacity along key corridors can help move Canadian goods more efficiently, strengthen supply chains and improve access to international markets.
New Brunswick Premier Susan Holt said the investment will help businesses in the province reach additional customers and compete in global markets.
The project also advances priorities identified by the Atlantic Economic Panel, which highlighted Saint John as having the potential to expand its role as a major Canadian trade gateway.
Once completed, the Saint John Trade Corridor improvements are expected to increase port capacity, strengthen rail connectivity, improve marine operations and reduce freight transportation delays.
The combination of port, rail, road and border infrastructure demonstrates the scale of investment required to develop integrated trade corridors connecting Canadian businesses with domestic and international markets.
For the construction and infrastructure sectors, the project represents a significant package of marine, transportation, rail and logistics infrastructure work designed to support the long-term growth of Port Saint John and Atlantic Canada’s role in global trade.
Explore related articles you won’t want to miss:
Is Your Construction Data Ready for AI?
What Is Construction Technology? A Practical Guide to ConTech
