China's automobile exports have been growing rapidly, which is causing an unexpected problem for the global automobile transportation industry—there is a shortage of ships.
According to a report by The Wall Street Journal on August 13th, the capacity of specialized roll-on/roll-off ships used for transoceanic transportation of vehicles is becoming increasingly strained. Some ships have even had their berths reserved years in advance. Driven by the demand for Chinese auto exports, the rent for shipping containers has increased by about 65% this year.
Reports cite data from the research firm Mobility Global, indicating that in 2019, China’s exports of cars and box trucks amounted to less than 600,000 units, but this figure is expected to reach 10 million units this year. Andreas Engel, CEO of Norwegian automotive transportation company Höegh Autoliners, said that China has transformed from an unremarkable participant in the global automotive export market into the largest exporter in just about five years.
On August 12, 2026, in the Taicang Port area of Suzhou Harbor in Jiangsu Province, BYD’s “Hefei” professional automobile transport vessel was loading new energy vehicles for export overseas. Visual China
Chinese cars are also seeing an increase in sales in overseas markets. Data from the European Automobile Manufacturers Association shows that in the first half of this year, SAIC Group's new car registrations in the EU increased by 19%, while those of BYD more than doubled. During the same period, Volkswagen saw a 2.6% increase, Stellantis saw a 6% increase, and Renault saw a 4.2% decrease.
Strong demand has led to a new rise in freight rates, which were previously expected to decline. According to data from shipbroking company Clarkson, the average annual rent for large motor transport ships reached $70,000 per day in June this year, an increase of about 65% compared to $42,500 at the end of last year. Motor transport freight rates have now reached roughly twice what they were before the pandemic.
Although the global fleet of automobile transport ships has expanded by approximately 40% in recent years, the capacity still fails to meet demand. In order to transport more automobiles to Europe, Australia, and Latin America, some Chinese automakers have begun using more costly container transportation methods. One of the world's largest operators of automobile transport ships, Hualun Wilson, estimates that up to 4 million automobiles from China are exported each year through alternative methods such as containers.
The huge export demand has also driven Chinese automakers to enter the shipping industry directly. BYD will launch its first automobile transport ship in 2024, and currently it already has 8 specialized transport ships.
The Wall Street Journal will link export growth with China's domestic automobile market competition being fierce and demand slowing down.
However, reports also acknowledge that Chinese brands, thanks to their price and technological advantages, not only outperform many established Western automakers in their home markets, but are also expanding their market share in overseas markets such as the UK, Brazil, and Germany.
Warren Wilson, CEO of the company, said that Chinese car exports are growing at an "unprecedented" rate, and the demand for car transportation resulting from this is "astonishing".
