A COMMITMENT to zero emissions and integrated supply chains has underpinned Wallenius Wilhelmsen’s multi-year extensions of two contracts with major automotive manufacturers.
Wallenius Wilhelmsen said the strategic contracts for shipping services carry an estimated additional value of close to USD 500 million and are “a testament to the strength of long and strong standing partnerships,” Pia Synnerman, chief customer officer, said.
The first contract is with a leading premium European auto manufacturer and is extended by three additional years, with the new contract now ending in 2030. The contract is estimated to have a total value of USD 580 million, with the extension value being USD 384 million based on expected volumes. The contract extension includes additional volumes and trade lanes.
Rates are in line with current market levels and the renewed agreement commenced in October 2025, Wallenius Wilhelmsen said. With both companies' ambition to reduce emissions, the contract includes a multi-fuel BAF mechanism to reduce emissions, in line with the trajectory of reaching net-zero in 2040.
The second contract is with a leading European heavy equipment manufacturer and is extended for two additional years with the new contract being valid through 2028. This contract has an estimated total value of USD 175 million, with the extension value being USD 114 million, based on expected volumes. The rates are also in line with current market levels.
This customer has committed to introducing a multi-fuel BAF as part of the extension period, too. The renewed agreement commenced on 1 December.
“Both customers want to build on the existing foundation of their strategic collaboration with Wallenius Wilhelmsen to continue efforts for further integrating and optimising their supply chains,” Ms Synnerman said. “We look forward to delivering integrated logistics to both customers going forward.”