A truckload of goods on its journey ①
June 2, Melbourne Port, Australia.
A 199.9-meter-long giant ship slowly docked, its deck densely packed with white, blue, and silver new energy vehicles—4,809 units, setting a new record for the largest single import of electric vehicles into the Australian market.
This marks the maiden voyage to Australia for BYD’s self-operated roll-on/roll-off ship, the “Zhengzhou.”
A 14-day voyage, covering 9,756 kilometers, from Shanghai Port to Melbourne Port.
But this is more than just a shipment.
It’s a complete supply chain from the factory to overseas consumers, and every link hides the untold stories of automobile export logistics.
Why are automakers starting to build their own ships?
From January to April 2026, China exported 3.28 million vehicles, a year-on-year increase of 52%. BYD exported 319,000 vehicles, a growth rate of 55%, ranking first in the industry.
The surge in exports has outpaced shipping capacity.
In the traditional model, automakers rely on third-party shipping companies to lease shipping space. Global capacity for car carriers (PCTCs) is limited, and in 2023, there was a severe shortage of space, with sea freight rates for a single car exceeding $3,000.
Even with price reductions, the current cost per vehicle for third-party shipping is still around $2,000, and space is not guaranteed, and shipping schedules are unpredictable—when your car can go to sea depends on the shipping company’s schedule.
BYD’s solution is straightforward: build its own ships.
Currently, it owns eight custom-built roll-on/roll-off (Ro-Ro) vessels with an annual carrying capacity of 250,000-300,000 vehicles.
The “Zhengzhou” vessel uses LNG dual-fuel propulsion and can carry 7,000 standard vehicles.
Large-scale transportation combined with its own dispatching system reduces the cost per vehicle for ocean freight to $1,200, a 40% reduction compared to third-party shipping.
This translates to a saving of $800 per vehicle, totaling $200 million for 250,000 vehicles annually.
II. 9756 km Full-Link Breakdown
How many stages does a Chinese new energy vehicle go through from the Zhengzhou factory to an Australian consumer?
First stop: Factory assembly → Port consolidation
The Zhengzhou Airport Economic Zone is BYD’s largest vehicle manufacturing base in China, integrating battery, motor, electronic control, and vehicle manufacturing.
After rolling off the assembly line, the vehicles are transported by flatbed truck to Shanghai Port or Taicang Port for consolidation.
Cost bottleneck: Flatbed truck transportation costs approximately ¥800-1200 per unit, increasing with distance.
The distance from Zhengzhou to Shanghai is about 1000 kilometers, with a single flatbed truck inland transportation costing around ¥1000.
Second stop: Loading → Transoceanic voyage
The “Zhengzhou” departed after loading 4,809 vehicles at Shanghai Port.
The advantage of roll-on/roll-off (Ro-Ro) ships lies in their “drive-on, drive-off” capability—vehicles drive themselves into the hold without the need for hoisting, making them far more efficient than container shipping.
The 14-day voyage covered 9,756 kilometers, using LNG dual-fuel propulsion, resulting in carbon emissions 25% lower than traditional fuel-powered ships.
Cost bottlenecks: While ocean freight may seem cheap, there are significant hidden costs—port fees (approximately $150-200 per vehicle), insurance (marine insurance rates for new energy vehicles are higher than for fuel-powered vehicles, approximately 0.3-0.5%), and lashing and securing fees ($30-50 per vehicle).
Third Stop: Arrival → Customs Clearance → Delivery
Upon arrival at the Port of Melbourne, the Australian maritime port authorities held a welcoming ceremony and issued a maiden voyage certificate. Vehicles were unloaded → cleared customs (Australia’s tariff on Chinese electric vehicles is only 5%, making it a low-tariff market) → transported to the local delivery center.
Cost bottlenecks: Customs clearance + local logistics + PDI inspection + delivery preparation, approximately $300-500 per unit.
However, the bigger pain point is time—previously, the delivery cycle in the Australian market was as long as 6-8 weeks, meaning customers had to wait two months to pick up their vehicles after placing an order.
The investment in a self-operated fleet directly reduced the delivery cycle to less than 4 weeks.
The self-operated model saves approximately ¥5,600 per vehicle, which is not a small amount for models priced between ¥300,000 and ¥400,000 – directly determining that you can be 8-12% cheaper than competitors in overseas markets.
III. Whose Money Does the Saving Actually Belong?
Saving 40% on shipping costs, but don’t forget: eight Ro-Ro ships represent a significant capital investment.
A single 7,000-vehicle-capacity LNG dual-fuel Ro-Ro ship costs approximately $800 million to $1 billion. Eight ships represent a $6-8 billion capital bet.
This means:
In the short term:
Depreciation and capital expenditure pressures are enormous; the ships need to be fully operational to amortize costs.
In the long term:
During freight rate fluctuations, owning your own shipping capacity is the strongest hedging tool—when others can’t charter ships, your trucks continue to be dispatched.
Competitive barriers:
While competitors are still struggling for shipping space, you’re already laying the groundwork for a second destination.
Therefore, BYD’s logic isn’t about “saving money,” but about transforming logistics from a cost center into a fulfillment guarantee.
This is the true significance of the “Zhengzhou” ship’s maiden voyage to Australia: when your car arrives at the port on time within 14 days, while your competitors are still waiting for their shipping schedules, your channels can receive payments sooner, your customers can pick up their cars faster, and your brand can capture mindshare more quickly.
IV. From “Selling Out” to “Rooting in the Market”
In the same month that the “Zhengzhou” ship arrived in port, BYD did something else: it regained exclusive distribution rights in Australia from its general distributor, Eagers, switching to a direct control model.
Shipbuilding + direct sales: this is no coincidence.
In the past, Chinese automakers going global basically operated on a “wholesale model”—selling cars to local general distributors, outsourcing logistics, distribution channels, and after-sales service. They earned the small difference between the factory price and the FOB price.
What BYD is doing is replicating “vertical integration” from China to overseas:
Self-built transportation capacity: 8 roll-on/roll-off ships ensure delivery certainty
Direct control of distribution channels: Regaining distribution rights and building a standardized after-sales system
Localized production: The right-hand drive factory in Thailand is already in operation, and negotiations are underway for a warehouse in Liverpool, UK.
But this path isn’t cheap.
Operating overseas means maintaining an overseas team, building after-sales service networks, and handling local regulatory compliance—each a significant cost.
If overseas sales don’t reach a certain scale, idle ships and stores become a heavy financial burden.
