Sallaum Lines orders 8,600 CEU carrier as fleet investment tops $850 million

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Sallaum Lines has signed a contract with China Merchants Shipyard for one firm 8,600 CEU pure car and truck carrier, with an option for a second vessel, extending a fleet renewal programme now valued at more than $850 million.

The LNG dual fuel and ammonia ready vessel is scheduled for delivery in 2029. The order follows a separate agreement signed only weeks earlier with Xiamen Shipbuilding Industry for two firm 8,600 CEU vessels and options for two more.

The latest contract brings Sallaum Lines’ total newbuilding programme to nine vessels. Four have already entered service, while another vessel is expected in August 2026 and a sixth in December 2026. Three additional ships are currently scheduled for delivery in 2029.

The investment comes as operators assess how much new capacity the global car carrier market will require after several years of tight vessel availability, strong automotive exports and increased demand for high and heavy cargo transport.

The deep sea PCTC fleet consists of roughly the high 700 vessel range, making it considerably smaller and more specialised than the container ship or bulk carrier sectors. Ships are purpose built to handle passenger vehicles, trucks, construction equipment, agricultural machinery and other rolling cargo.

Demand has also become more diverse. Traditional automotive exports remain central to the market, but Chinese vehicle exports, electric and hybrid cars, machinery and project cargo are creating new cargo flows.

For operators, this raises a practical question. Is adding capacity enough, or must each new vessel also be capable of adapting to different cargo types, regulations and fuel choices?

Sallaum Lines is placing its emphasis on larger vessels that can carry a broad mix of cargo while providing lower emission operating options. The 8,600 CEU design will be among the largest vessel types in its fleet.

The new ship will be designed to transport passenger vehicles, commercial vehicles, trucks, heavy equipment and project cargo.

That cargo flexibility is intended to support the carrier’s services across Europe, Africa, Asia, the Middle East and the Americas. It also gives the company more options when trade volumes change between regions or when customers require space for larger rolling units rather than standard passenger cars.

Larger car carriers can improve unit economics by transporting more vehicles on a single sailing, but their value depends on port access, cargo availability and reliable scheduling. They must also be flexible enough to avoid being tied to one narrow cargo segment.

The order therefore combines scale with the ability to serve automotive manufacturers, equipment producers, freight forwarders and project cargo clients.

The vessel will be fitted with LNG dual fuel propulsion, allowing it to operate on LNG or conventional marine fuel.

LNG is being used by several deep sea operators as a transition fuel because it is commercially available and supported by an established, although still developing, bunkering network. Its long term role remains debated as shipping companies evaluate methane emissions, fuel availability and future carbon regulations.

The ammonia ready specification is intended to leave open a possible future conversion pathway. It does not mean the vessel will initially operate on ammonia, but key design considerations will be addressed during construction to support conversion if green ammonia becomes commercially and technically viable.

This approach allows the carrier to use an available lower emission fuel while retaining some flexibility as marine fuel rules and infrastructure develop.

Hasan Sallaum, managing director of Sallaum Lines, said the order reflects confidence in the long term fundamentals of the PCTC market and the changing requirements of automotive logistics customers.

“Customers need capacity, reliability, flexibility, and a clear environmental direction from their shipping partners,” Sallaum said. “The new vessel will be LNG dual fuel and ammonia ready, giving us a practical solution for today and future readiness for tomorrow.”

The timing of the contract is significant because new car carriers require substantial capital and long construction lead times. Ordering a ship for 2029 means making assumptions today about cargo demand, regulations and fuel technology several years ahead.

It also comes during a period of increased PCTC ordering, with Chinese yards securing a large share of contracts for the latest generation of high capacity vessels.

Shipyard availability, equipment selection, delivery timing and propulsion choices have consequently become central parts of fleet planning. Operators must secure suitable building slots while avoiding excessive exposure if vessel supply begins to outpace demand.

Sallaum Lines’ programme now covers nine ships with a combined value exceeding $850 million. With six vessels delivered or due by the end of 2026 and three scheduled for 2029, the carrier is building a longer pipeline of RoRo capacity for its global trade network.