SFO Secures Lödige Industries for $300M Automated Cargo Terminal

San Francisco International Airport (SFO) is launching a major modernization of its freight infrastructure. The airport is investing more than $300 million to build a highly automated, two-story cargo terminal. SFO has selected Germany's Lödige Industries to equip the 310,000-square-foot facility with high-throughput storage and handling technology.

Scheduled for completion in spring 2028, the terminal aims to expand cargo capacity and accelerate processing speeds for airlines, freight forwarders, and logistics providers. SFO expects commercial operations to begin later that year. At the center of the facility will be three Elevating Transfer Vehicles (ETVs). These rail-guided machines will provide automated storage and retrieval of unit load devices (ULDs), moving containerized cargo vertically and horizontally at the same time to reduce aircraft turnaround times.

Air cargo hubs are increasingly adopting the automation models used in advanced e-commerce distribution centers. Managing time-sensitive freight, customs clearances, and airline schedules requires extreme coordination, especially when airport real estate is constrained. By expanding upward with a two-story design, SFO can maximize its cargo throughput without expanding its physical footprint.

SFO project manager Samuel Chui outlined the long-term vision behind the capital investment. Chui stated, "This investment reflects SFO's commitment to providing modern, efficient cargo facilities that support our airline partners and the regional economy." The upgrade comes at a crucial time as West Coast airports face rising demand from e-commerce shipments and shifting global trade routes.

The new layout is designed to eliminate the bottlenecks common in manual cargo facilities, where fragmented storage and slow transfer times often delay ground logistics. Lödige Industries will integrate its automated storage systems to create a more reliable flow from truck dock to aircraft. Jonathan Hardy, managing director for North America at Lödige Industries, noted that the terminal places SFO at the forefront of West Coast logistics. Hardy added, "The cutting-edge cargo terminal positions SFO at the forefront of West Coast air cargo logistics."

Lödige's work in San Francisco adds to a growing footprint in the North American market. The company recently secured a major modernization contract with Korean Air for its cargo terminal at John F. Kennedy International Airport (JFK) in New York. The SFO project represents one of the largest single investments in cargo infrastructure on the West Coast in recent years.