Sallaum Lines signs 1+1 newbuilding order with China Merchants Shipyard for 8,600-ceu PCTCs

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Sallaum Lines has signed a shipbuilding contract with China Merchants Shipyard for one firm and one optional 8,600-car-equivalent-unit (CEU) pure car and truck carrier (PCTC).

The order comes only weeks after the car carrier operator signed a separate agreement with Xiamen Shipbuilding Industry Co., Ltd. for two firm 8,600-ceu vessels, with options for two additional ships. Both newbuilding contracts are for vessels scheduled for delivery in 2029.

According to Sallaum Lines, the China Merchants order brings its total newbuilding programme to nine vessels, with the company stating a combined order value of more than $850 million. The programme includes four vessels already delivered, one vessel scheduled for delivery in August 2026, and a sixth due in December 2026, in addition to the three vessels contracted for 2029 delivery.

The newly ordered vessel will be equipped with LNG dual-fuel technology, allowing it to operate on LNG as well as conventional marine fuels. It will also be built to an ammonia-ready design, meaning the ship is prepared from the outset for potential future conversion to ammonia propulsion, should that fuel become commercially viable at scale.

Hasan Sallaum, Managing Director of Sallaum Lines, stated: “This new order with China Merchants Shipyard is another important step in the development of our future fleet. Only weeks after our 2+2 order at Xiamen Shipbuilding, we are pleased to confirm an additional 1+1 8,600-ceu vessel. This shows the momentum behind our fleet renewal programme and our confidence in the long-term fundamentals of the PCTC market.”

He added: “The new vessel will be LNG dual-fuel and ammonia-ready, giving us a practical solution for today and future readiness for tomorrow. This is how we believe modern fleet development should be done: with scale, discipline, and flexibility.”

The 8,600-ceu capacity places the vessel among the larger ships in Sallaum Lines’ fleet. The company says the design supports a broad cargo mix, including passenger vehicles, light commercial vehicles, trucks, heavy rolling equipment, and project cargo — a range that Sallaum Lines notes is increasingly relevant as trade patterns shift, particularly with the growth of Chinese vehicle exports into emerging markets.

The global deep-sea PCTC fleet numbers in the high-700s, according to the company, a relatively concentrated segment compared with container or bulk shipping. Sallaum Lines says demand across the segment has been driven not only by traditional automotive exports but also by Chinese electric and hybrid vehicle exports, construction machinery, and agricultural equipment — adding complexity to cargo flows and, it argues, placing greater emphasis on vessel flexibility and environmental performance.

The order also reflects a broader trend in PCTC newbuilding activity, with Chinese shipyards playing an increasingly central role in delivering the latest generation of car carriers. Sallaum Lines’ decision to place orders with two separate Chinese yards — Xiamen Shipbuilding and China Merchants Shipyard — within weeks of each other underlines that dynamic.

LNG remains a widely used transition fuel in deep-sea shipping while green ammonia and other alternative fuels continue to develop commercially. The ammonia-ready classification, applied to a growing number of newbuildings across multiple shipping segments, allows owners to retrofit vessels for alternative fuels at a later date without requiring fundamental redesign.

Sallaum Lines’ fleet serves trade routes across Europe, Africa, Asia, the Middle East, and the Americas, with customers that include automotive manufacturers, equipment producers, freight forwarders, and project cargo clients.