Infrastructure driving industrial growth in Newcastle Region

Newcastle is rapidly emerging as a powerhouse in Australia’s industrial property landscape, and infrastructure is the catalyst behind this transformation. With several major projects underway, the region is positioned to unlock new industrial land, reduce freight congestion and attract national and international logistics operators. From road upgrades to port and airport expansions, Newcastle’s infrastructure pipeline is laying the foundation for long-term industrial growth. We listed below the major projects impacting the industrial expansion: 

M1 Pacific Motorway Extension (Black Hill to Raymond Terrace) 

Scheduled for completion in late 2028, the $2.1 billion project will significantly reduce freight congestion and improve connectivity between Sydney, Brisbane, and the Hunter’s core industrial zones. The extension will streamline freight movement and enhance access to key industrial estates across the region. 

Hexham Straight widening 

This critical upgrade targets one of the busiest freight corridors in the Hunter. By improving the link between the Port of Newcastle, Pacific Highway, New England Highway, and M1 Motorway, the project will enhance efficiency for logistics operators and manufacturers alike. 

Jesmond Bypass upgrades 

Enhancing internal connectivity, the Jesmond Bypass upgrades will reduce travel times between Lake Macquarie, Newcastle’s inner city and the Pacific Highway. This will support smoother movement of goods and services across the region’s industrial and commercial hubs. 

These infrastructure investments are not only improving freight efficiency but also unlocking land in key growth corridors, ensuring that industrial estates have the road access needed to support high-throughput logistics and manufacturing operations. 

A game changer: the multi-purpose deepwater container terminal 

One of the most transformative projects on the horizon is the proposed $2.4 billion Multi-Purpose Deepwater Container Terminal (MPCT) at the Port of Newcastle. Once delivered, this terminal will: 

• Handle over 1 million TEU (twenty-foot equivalent units) per annum 

• Reduce logistics costs for regional and interstate exporters 

• Unlock new industrial land development and warehousing demand 

• Create thousands of direct and indirect jobs across the region 

Currently progressing through planning and environmental assessment, the MPCT would position Newcastle as a genuine alternative to Port Botany and Port Kembla. Its delivery would attract major logistics and trade-based occupiers, further cementing Newcastle’s role as a national freight and trade hub. 

Newcastle Airport expansion: Boosting international freight capabilities 

Complementing the Port development is the expansion of Newcastle Airport, which includes the opening of a new international terminal and freight facility in August 2025. This upgrade will: 

• Enable direct international air freight handling 

• Improve supply chain efficiency for time-sensitive goods 

• Open new trade routes for regional exporters 

• Support the growth of advanced manufacturing and high-value logistics 

The airport’s enhanced capabilities will provide a critical link between Newcastle and global markets, making the region even more attractive to businesses that rely on fast, reliable freight services. 

With billions of dollars in infrastructure investment, Newcastle is positioning itself as a premier destination for industrial growth. The combination of upgraded road networks, a deepwater container terminal, and expanded international air freight access is transforming the region into a logistics and manufacturing powerhouse. For businesses seeking scalable, connected, and cost-effective industrial solutions, Newcastle offers a compelling opportunity in 2025 and beyond. 

For further insights on the industrial market, contact our Head of Sales and Leasing specialist, Byrne Tran.