OLP boost from electric cars
The Chinese-made electric vehicles that arrive in containers in Piraeus via the car terminal for sale in Europe fully assembled were the main driver of Piraeus Port Authority (OLP) to unprecedented highs in January-September.
Sales rose by 13% to 164.6 million euros, operating profit (EBITDA) by 32.5% to €99.87 million, and net profit by 39.9% to €65.88 million. Total lending fell 4.7% to €97.9 million, while net cash rose 9.2% to €74.8 million.
A closer look shows that OLP enjoys this increased income from importing mainly electric Chinese vehicles. Due to a significant lack of available transport capacity on conventional ships that run regular routes from Asia to Europe, major Chinese car manufacturers are choosing to transport their cars specially packed in containers. When they are unloaded at Piraeus, they must be unpacked and the necessary procedure is completed for their delivery to the neighboring OLP car terminal; they are then ready to head to the European markets by trucks and trains.
The share of Chinese cars in the European car market rose from 0.1% in 2019 to 2.8% in the first seven months of 2023, according to Schmidt Automotive Research. However, Chinese automakers are focusing on e-vehicles, with their share rising from 0.5% in 2019 to 3.9% in 2021.
