July was a record-setting month for Hoegh Autoliners with rates hitting all-time highs.
The Oslo-listed car carrier giant said on Friday that it had transported 1.2m cbm last month, earning gross freight rates of $100.30 per cbm and net rates of $87.20 per cbm.
“The third quarter started well for Hoegh Autoliners and in July we achieved a new record level for both gross and net rates,” chief executive Andreas Enger said.
“The general market remains strong with some fluctuations in monthly rates and volumes depending on trade and cargo mix as well as vessel positions.”
Volumes were in line with what the company has been reporting since the beginning of the year, fluctuating between 1.1m cbm and 1.2m cbm.
But gross freight rates were significantly better, nearly $6 per cbm higher than in June and $11.60 per cbm higher than last July.
Net rates followed the same pattern, beating June’s $83.10 figure by $4.10 per cbm and July 2023’s by $9.50 per cbm.
The share of high and heavy volumes stayed flat both sequentially and year on year at 24%.
The rosy monthly update comes amid some anxiety in the car carrier market about its prospects, including the potential for European Union tariffs on Chinese electric vehicles — one of the factors driving the sector’s high rates.
Earlier in the week, Enger was quoted in Bloomberg as saying rates will eventually be halved as newbuildings hit the water.
Up to 20 vessels have been delivered so far this year, with 27 more due for delivery according to Clarksons.
The broker said another 66 will be delivered next year and 65 in 2026, although some experts believe that the market is so undersupplied that any new vessels will just bring the market closer to equilibrium.
