evee Central

China’s EV export boom fuels surge in demand for new car-carrying ships

BEIJING/SHANGHAI (Reuters) – Chinese automakers and shippers are ordering a record number of car-carrying vessels to support a boom in EV exports, data showed, putting China on course to amass the world’s fourth-largest fleet by 2028.

China currently has the world’s eighth-largest fleet with 33 car-carrying ships, showed data from shipping consultancy Veson Nautical. Japan has the world’s largest with 283 ships, followed by Norway’s 102, South Korea’s 72 and Isle of Man’s 61.

But Chinese companies have 47 ships on order, accounting for a quarter of all orders globally. Buyers include SAIC Motor, Chery Automobile and EV giant BYD, as well as shippers such as COSCO and China Merchants on behalf of Chinese automakers.

“After this armada has been delivered to China, the Chinese controlled car carrier fleet will jump from current 2.4% to 8.7%,” Veson analyst Andrea de Luca said. “We expect to see new trade routes established almost exclusively for Chinese OEMs (automakers).”

The jump in orders has mostly benefited Chinese shipyards, which received 82% of orders globally, the data showed.

With price-squeezing competition, cost-conscious consumers and a sluggish economy, automakers have ramped up expansion into markets where their vehicles command higher prices than at home. Last year, China overtook Japan as the biggest auto exporter.