The export transportation of cars mainly includes the following methods: Ro-Ro transportation, car container transportation, and frame-based transportation.

1. RoRo ship transportation

What is a RoRo ship?

The concept of roll-on/roll-off (Ro-Ro) ships originated from military tanks or vehicle landing crafts. The world’s first Ro-Ro ship was the “Ideal X,” built in the United States in 1958.

Ro-Ro ships, also known as “roll-on, roll-off” ships, or “drive-on, drive-off” ships, are vessels designed for the direct loading and unloading of cargo, such as container trailers or wheeled pallets, using tractor units. Cargo is not lifted vertically onto or off the cargo hold from the deck but is driven on or off the vessel via ramps at the bow, stern, or sides of the ship, and connected to the shore using ramps or gangways. This method utilizes trailers or forklifts to transport containers or goods, along with their wheeled chassis, between the vessel and the shore. For vehicles with their own power, drivers can directly drive on and off the vessel.

Ro-Ro ship structure

Roll-on/roll-off (Ro-Ro) ships typically have multiple decks for cargo placement, with the upper deck featuring a flat surface. Ramps or elevating platforms connect the various decks, allowing vehicles to pass between them. Superstructures are usually arranged at the bow or stern to facilitate cargo stowage. The engine room is located at the stern, with funnels positioned on both sides. The entrances and exits of Ro-Ro ships are usually located at the stern, equipped with articulated ramps to connect with the shore, facilitating the loading and unloading of rolling cargo.

Advantages of RoRo ships

Roll-on/roll-off (Ro-Ro) ships offer several advantages in international automotive transportation, including fast loading and unloading speeds, no need for additional port handling equipment, high transportation quality, visible delivery conditions, convenient supervision and inspection, and minimal cargo damage. As a result, Ro-Ro ships are widely used in international automotive transportation and are currently the most mainstream and conventional method of shipping vehicles by sea.

Situation in China

The advantages of Ro-Ro shipping are evident, but the Chinese automotive industry currently faces a significant shortage of transport capacity in the short term. According to the latest analysis by Clarkson Research, there are only 39 dedicated car carriers (Ro-Ro ships used for automotive exports) in China, with a total of 115,000 car spaces, accounting for 2.8% of global capacity.

The mismatch between maritime shipping capacity and export capacity has led to a significant increase in transportation costs for Chinese automotive exports. Clarkson Research’s latest data shows that from August 2020 to the end of November 2023, the charter rates for a 6,500 standard car capacity car carrier (one-year term) surged from $10,000 per day to $115,000 per day, an increase of over 10 times.

On one hand, the rapid growth in automobile exports has led to soaring Ro-Ro freight rates, while on the other hand, China lacks influence in Ro-Ro shipping. In response to this situation, various Chinese enterprises are entering the Ro-Ro shipping market through methods such as ordering, purchasing, and leasing. In the layout of Ro-Ro shipping enterprises, there are logistics companies as well as the presence of automobile manufacturers.

China’s demand for ro-ro ships

Ro-Ro transportation not only requires transportation carriers but also relies on the support of Ro-Ro terminals. According to incomplete statistics, there are approximately 40 coastal ports in China involved in automobile maritime trade, with ports such as Shanghai Port, Guangzhou Port, Tianjin Port, Yantai Port, Lianyungang Port, and Dalian Port being the main ones. The current overall capacity generally meets the demand, but there are structural problems in the layout of terminals, particularly in the Yangtze River Delta region, where the resource capacity of Ro-Ro terminals is relatively insufficient.

In 2022, exports from automobile companies such as SAIC, Chery, Tesla, and Geely in the Yangtze River Delta region accounted for 58.5% of the total exports in China, while those from companies like Changan and Dongfeng in the middle and upper reaches of the Yangtze River accounted for 14.8%. There is a strong demand for automobile maritime transportation in this region, but the configuration of Ro-Ro terminals is relatively inadequate.

China’s specialized automobile Ro-Ro terminals are in a golden period of development. However, with the slowing economic growth, major automobile terminals will face fierce competition. They need to gradually expand their service scope based on different location advantages and development conditions, gradually extending from passenger cars to engineering machinery, specialized vehicles, and other areas, forming differentiated development approaches and patterns.

2. Car container transportation

Automobile container transportation for exports can be carried out via both sea and railway transportation. Sea container transportation has the advantages of large capacity, multiple routes, and low prices, and China has relatively sufficient capacity in this regard. Railway transportation mainly relies on the China-Europe Railway Express.

Automobile containers can be loaded using standard 20-foot containers.

In general, consignors may choose to load new energy vehicles in 40-foot containers, and there are three common loading schemes:

(1) Two cars in one container:

Two new energy vehicles are loaded side by side in the container, secured to the container using chocks (such as triangular wedges) and straps.

(2) Three cars in one container:

A transport rack is placed inside the container, securely fixed to the container. One car is diagonally loaded onto the transport rack, another car is loaded flat underneath the rack, and a third car is loaded flat near the container door. The vehicles on the rack are secured to the rack using straps, while the flat-loaded vehicles are secured to the container using chocks and straps.

(3) Four cars in one container:

Two transport racks are placed inside the container and securely fixed to the container. Two cars are diagonally loaded onto each transport rack, while two cars are loaded flat underneath the racks. The vehicles on the racks are secured to the racks using straps, while the flat-loaded vehicles are secured to the container using chocks and straps.

The loading methods for three cars in one container and four cars in one container require the use of transport racks to support and secure the vehicles, with two types available: internal-mounted and external-mounted.

For internal-mounted transport racks, the racks are first fixed inside the container, and then the vehicles are loaded onto them. On the other hand, external-mounted racks have the vehicles loaded and secured onto the racks outside the container. Afterward, the entire assembly is pushed into the container and secured in place.

Containerized transportation for electric cars presents a significantly different material efficiency compared to roll-on/roll-off transport. Its transportation scheme still requires optimization, as the container volume is fixed, and different fixed brackets are needed for transporting vehicles. There are challenges in terms of high transportation risks, low control over delivery quality, and difficulties in container unpacking operations at destination ports. Additionally, exporting electric cars requires them to be declared as dangerous goods, with inconsistent procedures and processes across different locations. This results in enterprises needing to provide various materials, leading to significant administrative hurdles.

3. Frame-based transportation of cars

Frame-based transportation is an extension of containerized transportation for automobiles. A notable example is the collapsible car-specific frame developed through collaboration between Taicang Port and COSCO Shipping. It fully considers the mainstream dimensions of automobiles and the high-quality requirements of transportation, adopting a length of 48 feet, capable of loading 3 complete vehicles when laid flat.

Distinct features:

• It can be stacked and loaded in the cargo hold of vessels, making it suitable for use on vessels with cargo holds and allowing for full utilization of cargo space. It is compatible with a wide range of vessel types, offering considerable flexibility.
• Even in ports without dedicated car terminals, as long as the port has specialized container handling equipment, vehicle transportation can be completed.
• Similar to specialized car transport vessels, vehicles are stowed in the cargo hold of the vessel, avoiding exposure to the elements and ensuring the quality of cargo transportation.
• Due to its open design and ample space, it prevents contact with the vehicle body, reducing the risk of scratches or damage.
• The frame is pre-designed with securement and strapping points, ensuring high levels of safety.
• Stackable heavy frames help save terminal space.

Summary

There are certain safety risks associated with the maritime transportation of automobiles, especially for electric vehicles (EVs) which are now mainstream. EVs, powered by lithium-ion batteries and containing a significant amount of electrical equipment, pose a considerable fire hazard. In the event of a fire, extinguishing it becomes significantly challenging. Internationally, electric vehicles are generally classified as hazardous goods for maritime shipping declaration. Whether it’s roll-on/roll-off transport, container shipping, or frame-based transport, besides basic cost considerations, strict adherence to safety transport standards is a crucial issue to address.