Höegh Autoliners secures work for its car carriers

Just days after taking delivery of its fourth multi-fuel Aurora-class pure car and truck carrier (PCTC), Norwegian shipping company Höegh Autoliners has secured two long-term contracts with two undisclosed ‘major international car producers’ for the transport of cars in the company’s key trade lanes.

One contract lasts until April 2029, while the other has a duration of two years with another two-year option. Both contracts are signed at rates and terms reflecting the current market level, as per the company.

Shipments under the new contracts are planned to commence in January and May 2025. Höegh Autoliners has not revealed which vessels will serve the contract.

“We are pleased to be chosen again as the preferred shipping partner for these two world-leading car producers, with whom we have a long-standing relationship. These contracts represent another important milestone in our ongoing efforts to build a solid contract backlog and support strategically important customers,” Andreas Enger, CEO of Höegh Autoliners, commented.

“Höegh Autoliners has taken a leading role in the deep-sea car transportation industry in terms of reducing our own, and our customers’ carbon footprint. With four Aurora class vessels in full operation, and eight more to enter the fleet over the next 2-3 years, we are confident in offering our customers one of the most sustainable and environmentally friendly transport solutions in the industry.”

To remind, the company took delivery of Höegh Sunlight, its latest newbuild vessel, in China, a week ago. On January 10, the vessel departed China Merchants Heavy Industry’s (CMHI) shipyard for bunkering before proceeding to Taicang terminal for cargo operations and naming ceremony.

Earlier this month, the company also welcomed the 9,100 CEU Höegh Australis, which was completed at China Merchants Heavy Industry (CMHI) Haimen Shipyard.

Höegh Autoliners’ twelve Aurora-class units, dubbed as “world’s largest and most environmentally friendly” PCTCs, will be equipped with multi-fuel engines.

Specifically, the first 8 Auroras will be equipped with engines primed to run on (liquefied natural gas) LNG and low-sulfur oil. These vessels can be converted to run on ammonia later.

By 2027, the remaining four vessels in the series will be delivered able to run net zero on ammonia directly from the yard.

The new vessels are said to signify a ‘breakthrough’ in reaching Höegh Autoliners’ ambitious net zero emissions target by 2040. Between 2008 and 2021, the company already achieved an improved carbon intensity of 37% across its fleet.