Wallenius Wilhelmsen’s financial report for the second quarter of 2025 shows that the demand for automobile shipping is still stable, and the momentum mainly comes from the growth of cargo volume departing from Asia, driving the overall volume to increase by 8% quarter-on-quarter, of which departures from Asia (ex-East) increased by 15%, while departures from Europe and the United States (ex-West) fell by 4%, resulting in an imbalance in round-trip routes and pushing up return ballast and repositioning costs, and the efficiency of the fleet in round-trip configuration has decreased. This leads to a tightening of market supply and increased demand pressure.
According to data cited by Wallenius Wilhelmsen, global light vehicle shipping volume increased by 2% quarter-on-quarter in the second quarter of 2025 and 4% year-on-year in the first six months of this year. From a regional perspective, shipments in Asia increased by 5% year-on-year, of which shipments in China increased by 15% year-on-year; Japan was flat, while South Korea fell 6% year-on-year due to weaker exports to the United States. Exports from Europe and North America decreased by 1% year-on-year in the same quarter and by 8% year-on-year in the first six months of this year. The company also pointed out that after the tariffs were introduced, the market share of Asian and American brands increased year-on-year, while the market share of European brands weakened. The sales volume of Korean brands in the US market increased by 10.4% year-on-year in the first six months of this year, which is higher than the overall growth of US light vehicles by 4% year-on-year, and this trend is also reflected in the increase in shipments from Asia on the shipping side.
On the supply side, Wallenius Wilhelmsen cited market data and pointed out that in the second quarter, the global automobile RoRo (RoRo) fleet increased by 21 ships, and only 1 ship withdrew. The imbalance between the Red Sea circumnavigation and inter-regional trade reduces the efficiency of a single round trip and offsets the effect of adding ships to a certain extent. In other words, although the book capacity has increased, the actual available effective capacity has not increased in equal proportions, because part of the increment has been bypassed and unbalanced consumption to form a “hidden eating space”, and market supply and demand are still tight.
Wallenius Wilhelmsen mentioned that recent agreements related to U.S. automobile imports show that tariff levels in major source markets are about 15%, which may prompt adjustments to the layout of shipments and destinations. In addition, the U.S. Trade Representative (USTR) proposed in June to impose a port fee of $14 per net ton for non-U.S.-flagged auto ro-ro ships to call at U.S. ports, which is expected to take effect on October 14, 2025 (may still be adjusted), and will also become a new variable in freight rate structure and fleet allocation.
From the perspective of the company’s own operations, the shipping business revenue in the second quarter was US$1.033 billion, an increase of 7% month-on-month, due to the expansion of volume, but the unit freight rate weakened slightly; Adjusted EBITDA for the same quarter was $411 million, up 6% quarter-on-quarter.
The company added that the fuel surcharge (BAF) and falling fuel prices reduced net fuel costs by $16 million quarter-on-quarter, but unbalanced trade and repositioning costs had a negative impact on the results.
In terms of outlook, CEO Lasse Kristoffersen said that the company observed that automobile-related demand remained strong in the third quarter, so it is confident that full-year adjusted EBITDA can be on par with 2024. Short-term growth is mainly driven by Asian shipments, but weak departures from Europe and the United States and policy changes may still increase costs and bring structural risks. in the medium term, it is necessary to pay attention to whether the new capacity can be digested by the market and whether the trade imbalance can be improved; As for the long term, the amount and price renewal of the contract provide a certain guarantee for performance.
Höegh Autoliners, also an automobile shipping company, announced its results for the second quarter of 2025: single-quarter revenue of $3.67 billion, operating profit (EBITDA) of $1.66 billion, and net profit after tax of $1.23 billion; volume increased by 11% compared to the first quarter, and the proportion of contracts rose to 81%, and the company explained that fleet utilization remained high, but trade imbalances intensified. The company estimates the annualized total cost of U.S. port fees effective October 14 at about $30 million, is negotiating with customers to reduce the impact, and expects the third quarter to be similar to the first half of the year.
