France’s CMA CGM — fresh from snapping up a 12% stake in Brittany Ferries — is said to have joined the dash to diversify into the niche car carrier sector, with four chartered vessels.
Shipping sources said CMA CGM has fixed four pure car/truck carriers from Singapore’s Idan Ofer-led Eastern Pacific Shipping.
Charter details were not disclosed but the liner giant is believed to have fixed the quartet for at least 10 years.
But it is unclear if the vessels fixed are newbuildings or existing tonnage.
Eastern Pacific has a dozen 7,000-ceu LNG dual-fuel newbuildings being built in China — six each at China Merchants Group’s Jinling and Weihai shipyards. The vessels are due to be delivered between 2023 and 2025.
But some market players think the tonnage already is on the water.
Eastern Pacific owns six car carriers that were built between 2006 and 2014. Four vessels have a capacity of 4,902 ceu each and two of about 6,300 ceu.
Market insiders say the sextet is on charter to shipowners Ray Shipping, Hyundai Glovis, Nissan Car Carrier and Suardiaz Group.
Cyril Ducau, chief executive of Eastern Pacific, declined to comment when contacted.
CMA CGM did not respond to a request for confirmation but directed TradeWinds to its latest financial results.
In its most recent filing, CMA CGM said it would create a special shipping department this year to pursue its growth into transport using ro-ro ships and expand its offering in finished vehicle logistics, by capitalising on the expertise of Gefco — part of its CEVA Logistics subsidiary.
CMA CGM took over Gefco, an auto transport company previously co-owned by Russian Railways and carmaker Stellantis, a merger between Peugeot and Fiat Chrysler, in April 2022 for an undisclosed sum.
The insiders said Gefco is only a booking agent for Stellantis and it does not operate any ships.
They added that Grimaldi and Japanese car carrier operators are currently shipping for Stellantis.
“With the four chartered PCTCs from Eastern Pacific, the charter deals marked CMA CGM’s entry into the car carrier business,” one shipping player said.
CMA CGM has been in expansion mode over the past 12 months. Besides the stake in Brittany Ferries, it took over French ropax operator La Meridionale and invested in Neoline, an outfit that is building wind-powered ro-ros for cross-Atlantic trades.
Last year, CMA CGM became a media player when it bought French daily newspaper La Provence.
