Press Release -  01.28.04


Gov. Minner Signs Five-Year Contract With Volkswagen Of America Securing 300 Jobs At The Port Of Wilmington

Dover, DE Governor Ruth Ann Minner and Greg Smith, Executive Director Distribution and Logistics for Volkswagen of America (VwoA), signed a new five-year lease agreement ensuring that new Volkswagens and Audis continue arriving at the Port of Wilmington through December 2008.

The Port of Wilmington is the second largest U.S. seaport of entry for new VW and Audi automobiles on the U.S. east coast and receives up to 100,000 new cars each year. Under the terms of the new agreement, VWoA anticipates adding another 23 acres to its present facility. At 90 acres of land under lease, VWoA will continue as the Port’s largest tenant.

“We are very pleased that Volkswagen has decided to continue with the Port of Wilmington as its mid-Atlantic distribution hub for imported Volkswagen and Audi automobiles,” said Gov. Minner.  “Together with our partners in the automobile trade, we were able to develop a competitive package that fully meets VWoA’s growth plans over the next five years.”

“We are very pleased that Volkswagen has decided to renew its lease at the Port of Wilmington,” said Nathan Hayward III, Chairman of the Board of the Diamond State Port Corporation and Delaware’s Secretary of Transportation. “With members of state government, port managers, executives at TransWorld Port and Distribution Services, and Allied Systems, the leadership and members of Teamsters Union Local 326, and other key service providers working together, we were able to craft a competitive package and achieve victory for the state, our port and our Delaware workforce.

”The signing of this extended lease with Diamond State Port Corporation represents the longest contract that VW has committed to Wilmington.  “VW’s previous two contracts were limited to three years each,” said Port of Wilmington Executive Director Gene Bailey.

“Today marks a successful outcome of nearly a year of intensive marketing in very tough competition with other possible locations,” noted Gov. Minner. “I've personally spoken with Volkswagen executives on numerous occasions to persuade them of the advantages of staying in Delaware. I'm delighted that this outcome means we've saved 300 good jobs in Wilmington’s automobile trade.”

“When we combined the highly skilled work force with the commitment from Delaware’s state and federal government officials to continue to support our growth needs at the Port of Wilmington, we believe we have made an excellent decision to stay in Wilmington,” said Greg Smith, Executive Director, Distribution and Logistics for VWoA.

“The Port of Wilmington has the infrastructure and ocean and trucking access we need today, and its new auto berth was a factor because it will enable our transportation team to achieve increased efficiencies during unloading operations at the port,” Smith added.

Volkswagen of America began shipping vehicles through the Port of Wilmington in 1974. In September 2002, Gov. Minner inaugurated the Port’s newly constructed, state-of-the-art auto berth on the Delaware River. This capital project was constructed to improve Wilmington’s automobile handling capabilities, was instrumental in retaining VW business at the port, and gives the port a key competitive advantage in attracting additional automotive and RoRo business to the State of Delaware.

Founded in 1923, the Port of Wilmington is an important asset for the local and regional economy, generating more than 5,800 jobs and contributing over $18 million in annual tax revenues to State and local government.  The Port is owned and operated by the Diamond State Port Corporation, a corporation of the State of Delaware. 

For further information, digital photos, free tours of the Port and free speakers contact: Vered Nohi-Becker, Marketing Services Manager at the Port of Wilmington
@ (302) 472-7819
, e-mail: vnbecker@port.state.de.us