ACD News

Delaware Renews Höegh Lease at Wilmington

Thursday, 23 April 2009 15:38

Norwegian car carrier handles exports of General Motors cars and trucks

The Delaware state-owned corporation that operates the Port of Wilmington reached a 10-year agreement with Höegh Autoliners that will keep the car carrier in the port until at least 2019.

The multi-million dollar deal between Höegh and the Diamond State Port Corporation is for lease of the 26.3-acre auto-processing facility where the Norwegian car carrier handles exports of General Motors cars and trucks.

Last year, 64 Höegh vessels called at the Port of Wilmington to load nearly 67,000 GM automobiles, SUVs, used automobiles and rolling stock for the Middle East.

A recent economic impact analysis by Martin & Assoc. for the Port of Wilmington credits Höegh’s related cargo with the creation of nearly 600 jobs,

The Oslo-based shipping line operates a roll-on, roll-off fleet of 67 PCTCs (Pure Car Truck Carriers) in a worldwide network with an annual transportation volume of 2 million CEUs (Car Equivalent Units).

Despite the global slump in auto sales that has seen acres of new cars pile up around major global auto ports, Höegh is engaged in an extensive fleet-expansion and renewal program, with the last of 32 new PCTCs scheduled for delivery by 2011.

It also recently completed a major ship-lengthening program that "stretched" 10 of its PCTCs by 100 feet. In the aggregate this program has created additional carrying capacity corresponding to approximately two PCTCs.