Wallenius Wilhelmsen has secured two contracts worth more than $1bn with a major equipment manufacturer, covering ocean transportation and logistics services over three years. The shipping portion accounts for around $950m and the logistics business close to $100m, though the customer was not identified. The deal follows a $420m early extension with a European carmaker in June, a $190m distribution renewal in March and a $130m agreement in January. It also comes a day after the group ordered four 9,900 ceu LNG dual-fuel vessels at Jinling Shipyard, with options for eight more.
According to splash247.com, Norwegian car carrier and logistics group Wallenius Wilhelmsen has secured two contracts worth more than $1bn with a major equipment manufacturer, covering ocean transportation and logistics services over a three-year period.
The Oslo-listed company said the shipping portion of the agreements accounts for around $950m, while the logistics business contributes close to $100m. The customer was not identified, though Wallenius Wilhelmsen described it as a longstanding partner.
Freight rates under the new shipping agreement are broadly in line with those of the previous three-year contract, the company said. Start dates and expected cargo volumes were not disclosed.
Customer chief flags supply chain role
John Felitto, who recently took over as chief customer officer, said the established relationship with the manufacturer would allow the company to keep supporting the customer’s global supply chain through its shipping network and logistics operations.
“Our established relationship with the manufacturer allows us to continue supporting the customer’s global supply chain through our shipping network and logistics operations.” — John Felitto, Chief Customer Officer, Wallenius Wilhelmsen
The latest agreements add to a run of large industrial and automotive contracts booked by the group. In January 2024, Wallenius Wilhelmsen disclosed a three-year shipping agreement worth around $1bn with an unnamed construction and mining equipment manufacturer.
That contract commenced in November 2023 and included a two-year extension option. The company has not confirmed whether the latest agreement involves the same customer.
Contract portfolio expands through 2031
The group has continued to build its contract book this year. In June it secured a $420m early extension with a major European carmaker, taking that arrangement through to mid-2031.
It also signed a $190m automotive distribution contract renewal in March and a $130m agreement with an Asian vehicle and heavy equipment manufacturer in January.
The latest contract win came just a day after Wallenius Wilhelmsen confirmed an expansion of its car carrier newbuilding programme in China.
Newbuilding programme reaches 26 vessels
The company has ordered four 9,900 ceu LNG dual-fuel vessels at Jinling Shipyard in Jiangsu, with options for another eight. The firm ships are scheduled to arrive from mid-2030, while the optional vessels would follow in 2031 and 2032.
The programme could involve a total investment of around $1.5bn if all options are exercised, taking Wallenius Wilhelmsen’s fleet renewal pipeline to 26 vessels, including options.
Source: splash247.com
Compiled from international media by the SCI.AI editorial team.
