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New York City is turning back to its waterways to address one of the city’s biggest modern challenges: congested streets and emissions from freight delivery. The city’s Department of Transportation and Economic Development Corporation have launched a pilot program that moves goods from Manhattan’s Pier 79 to local neighborhoods using ferries and electric cargo bikes, a strategy officials say will reduce truck traffic and pollution, according to the press release on NYC Newswire.
The first route of the Blue Highways program runs from Atlantic Basin in Red Hook to Pier 79 in Manhattan. Goods—including cosmetics, fashion, and household items—are transported by NY Waterway ferries to the pier, then loaded onto DutchX electric pedal-assist cargo bikes for last-mile delivery across a Manhattan service area from 23rd Street to 70th Street. The pilot is expected to handle 300 to 400 parcels per day initially, with operations increasing over time.
Officials say the program will ease congestion, improve air quality, and create a more resilient supply chain. “Waterways are the new highways in New York City! When we move goods by water and deliver them by sustainable modes of transportation like cargo bikes, everyone wins—our streets, our air, and our neighborhoods,” said NYC DOT Commissioner Ydanis Rodriguez.
New York City’s waterfront stretches 520 miles, offering a largely untapped resource for freight transport. “New York City was built on its waterways and, through the Blue Highways program, we’re taking advantage of them once again,” said NYCEDC President Andrew Kimball. Partners like NY Waterway and DutchX emphasize the efficiency and environmental benefits of moving freight by water rather than relying on trucks, which dominate nearly 90 percent of goods transport in the city.
The pilot builds on years of planning and smaller tests dating back to 2021, including proof-of-concept seasonal runs between Red Hook and Governor’s Island. As part of a broader initiative, the city is exploring additional piers—Pier 11, 34th Street Pier, and the Battery Maritime Building—for similar freight operations. The effort complements NYC DOT programs such as the Curb Management Action Plan, Off-Hour Delivery incentives, and the Microhubs program, all designed to create safer, cleaner, and more efficient delivery systems.
With freight volumes projected to grow 46 percent by 2055, city officials stress that shifting deliveries to waterways can reduce vehicle miles traveled, lower emissions, and ease wear on roads. Manhattan Borough President Mark Levine highlighted the program’s potential to improve air quality and make streets safer, while advocates note the benefits for environmental justice communities disproportionately affected by last-mile freight facilities.
The Blue Highways program represents a strategic shift in how New York City move goods. By leveraging ferries and electric cargo bikes for the “middle mile” and “last mile” of delivery, the city aims to modernize its freight system while reducing congestion and pollution. Early results from the Pier 79 pilot will inform plans to expand the program across the city, proving that New York’s waterways can once again play a central role in commerce.