Höegh Autoliners CEO Andreas Enger: Booming China Demand Is Reshaping the Car-Carrier Market — Cycle Still Strong

Per ShippingWatch's paywalled report, Höegh Autoliners CEO Andreas Enger said that booming Chinese car export demand is reshaping the global pure-car-truck-carrier (PCTC) market in a “disrupting” way. Per the publication's framing, Enger's two headline messages are: (1) the cycle is still strong — i.e. the industry reads current elevated freight levels not as a temporary peak but as a structural band; and (2) rerouting toward markets away from the Middle East will lengthen voyages and therefore support ton-mile demand.

Background on Chinese car exports: China became the world's largest car exporter in 2023, and across 2024-2025 exports of EV + ICE + hybrid vehicles by makers such as BYD, Chery, Geely, SAIC (MG), Great Wall, NIO and XPENG spread broadly across Europe, Latin America, the Middle East, Southeast Asia and Australia. By early 2026, the combination of European Commission anti-dumping duties on Chinese EVs and U.S. tariffs has accelerated the redirection of flows toward non-European destinations — particularly South America + Africa + Central Asia — which means longer voyage legs for PCTCs. Höegh Autoliners is growing its fleet with the Aurora Class dual-fuel LNG-ready next-generation vessels and, in the 10,000+ CEU (Car Equivalent Unit) capacity class, ranks among the market's largest players.

There are three direct supply-chain reads. First, Middle East rerouting: with the Strait of Hormuz crisis and Red Sea Houthi threats, direct services to Persian Gulf + Mediterranean destinations are risky; Höegh and peers (Wallenius Wilhelmsen, K Line, MOL, NYK, EUKOR) have shifted weight to Southeast Asia + Africa + Latin America lanes; longer voyages = higher ton-mile demand. Second, the freight cycle: Enger's “cycle is still strong” framing confirms the read that the gradual normalisation of the PCTC freight index from its 2023-2024 record highs is a soft landing, not a downturn. Third, the capacity + new orders balance: deliveries of next-generation LNG-ready PCTCs such as the Höegh Aurora Class concentrate between 2026-2028, suggesting the tight supply band loosens gradually and contract pricing for BCOs could ease somewhat from H2 2026. Note: This summary draws on ShippingWatch's publicly visible headline + subhead + opening paragraph and on sector background on Chinese car exports and the PCTC market; the full article is paywalled.

Key Takeaways:
1. ShippingWatch (paywall): Höegh Autoliners CEO Andreas Enger says booming Chinese car export demand is reshaping the global PCTC market in a 'disrupting' way.
2. Enger's two headline messages: (1) the freight cycle is still strong — a structural band; (2) rerouting to markets away from the Middle East lengthens voyages and supports ton-mile demand.
3. Background: China became the world's largest car exporter in 2023; EU anti-dumping + U.S. tariffs are shifting flows away from Europe (toward South America + Africa + Central Asia).
4. Middle East rerouting: the Hormuz crisis + Red Sea Houthi threats are pulling PCTCs away from direct Persian Gulf + Mediterranean services; ton-mile up.
5. Capacity outlook: deliveries of LNG-ready next-generation 10,000+ CEU PCTCs like the Höegh Aurora Class concentrate in 2026-2028, loosening the tight supply band; BCO contract pricing may ease from H2 2026.