UK plans R$3.6 billion port terminal to handle Chinese electric vehicles

The UK’s largest port operator, Associated British Ports (ABP), has announced plans for a new £500 million (R$3.6 billion) automotive terminal to handle the growing influx of electric vehicles (EVs) from China, according to the British newspaper The Telegraph.

What happened
Southampton, the largest port city on the UK’s southern coast, has been chosen as the site for the new facility. ABP intends to open the terminal by the end of the decade, preparing for a surge in imports of low-cost Chinese vehicles.

Shipments of Chinese cars through Southampton were virtually non-existent a few years ago but now total tens of thousands annually. That figure is expected to exceed 100,000 in 2026, accounting for about 20% of all cars imported or exported through the port.

China was the UK’s second-largest source of car imports last year, with shipments worth £4 million (R$28.7 million). Driven by rising sales of models from BYD, Jaecoo, Omoda, and Maxus, China trails only Germany, which supplied £17 million (R$122.3 million).

The total value of car imports into the UK in 2024 reached £44 billion (R$316.5 billion), nearly two-thirds higher than the £28 billion (R$201 billion) worth of vehicles exported by the country.

Global concerns
China has rapidly advanced in the international market after Beijing’s early push to develop its domestic EV industry, putting the country years ahead of Western markets. However, the sheer scale of Chinese exports has raised concerns abroad.

Last year, former U.S. President Joe Biden called China’s attempts to “flood” the U.S. with EVs a national security threat. Meanwhile, the European Union imposed heavy tariffs on imports to shield local manufacturers.

The UK, by contrast, has adopted a more open stance. Alastair Welch, ABP’s regional director, said there had been a “fundamental shift in activity” due to the government’s zero-emission policies, which encourage Chinese imports. “When these ships arrive in Europe, we are the first port they encounter, with the least diversion from main shipping routes. So the demand is there, if we have the capacity,” he explained.

ABP said it is close to reaching the 56,000-vehicle storage limit at its main Southampton terminal. It added that an additional 6,000-vehicle site on the west bank of the Solent — the strait separating the Isle of Wight from the Hampshire coast — will also be at capacity next year.

Source: UOL

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