The Port of Galveston expects to approach 4 million cruise passengers and more than 445 sailings in 2026, driven by larger vessels, a new terminal, and continued industry expansion. Port leaders say the growth is vital to funding operations because the port receives no tax dollars.
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Officials announced that the Port of Galveston anticipates attracting nearly 4 million cruise passengers by 2026, fueled by the introduction of new ships and the recent opening of a terminal, positioning the nation’s fourth-largest cruise port for another year of significant growth.
Last month, port leaders announced projections for 2026, estimating around 445 sailings and close to 4 million passengers. This figure accounts for both arrivals and departures, translating to roughly 2 million individual travelers. The increase coincides with growing demand for cruises from Texas and marks the port's 200th anniversary.
Rodger Rees, the Port Director and CEO, emphasized that ongoing growth is crucial for the self-sustaining port, which does not rely on city taxes or municipal budget assistance. “This growth is significant because, as a self-sustaining city entity without taxing authority or city funding, we depend on operating revenues, bonds, and grants to uphold and enhance our assets, thereby fostering our business and driving regional economic growth,” Rees stated in a column dated Dec. 1.
The expansion is clearly evident. Recently, the port inaugurated its $156 million fourth passenger terminal at Pier 16, catering to both MSC Cruises and Norwegian Cruise Line. Carnival Cruise Line has revised its future fleet plans, opting to replace the smaller Spirit with the larger Sunshine, set to commence sailings from Galveston in November 2027. The port highlights this decision as evidence of growing customer demand.
The influx of cruise traffic significantly boosts the island's economy. The port indicates that the cruise industry currently sustains over 4,500 local jobs, produces $291 million in personal income, and contributes $733 million in business revenue each year. “Our cruise business accounts for over 60 percent of the revenues generated at the port,” Rees stated. “With the rise in cruise revenues, we utilize our operating reserves to support significant capital projects and enhancements across the port.”
Growth extends beyond just the passenger side. The port is currently managing a $100 million enhancement to its West Port Cargo Complex, while passenger operations remain the primary revenue driver.
Last month, the port made a significant investment in the region's maritime workforce by establishing a $300,000 endowment to fund scholarships for students at Texas A&M University at Galveston pursuing careers in the marine industry.
Travelers heading to Galveston in the closing weeks of 2025 should anticipate continued road construction in the vicinity of the terminals. The port is advising drivers heading to Terminal 25 to enter via 23rd Street and exit at 33rd Street to ensure smooth traffic flow. Passengers heading to Terminal 28 are advised to enter and exit at 33rd Street.
Authorities are urging travelers to utilize port parking facilities and shuttle services to ensure timely arrival at their vessels.
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Disney Cruise Line will remove the Disney Magic from Galveston in mid-2027 after nearly 15 years of seasonal service. The ship will relocate to Vancouver for Alaska sailings, while Disney has not yet announced which vessel, if any, will replace it in Texas.
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Gov. Greg Abbott announced that Davie Defense Inc. will expand shipbuilding operations in Galveston and Port Arthur, investing more than $730 million and creating over 2,400 jobs. The state awarded the company a $21.7 million Texas Enterprise Fund grant to support the project, which will focus on building Arctic icebreakers and other specialized vessels.
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The La Marque City Council confirmed Byron Frankland as the city’s new police chief Monday night. Frankland, a longtime law enforcement and public safety leader, will begin his new role Feb. 16 following a nationwide search that drew more than 40 applicants.