Honda Will Use U.S.-Flag Central Gulf Lines Ship To Transport Cars To U.S.

Under a three-year contract signed recently by Honda Motor Company and Central Gulf Lines of New Orleans, a U.S.-flag merchant ship will be used to carry passenger cars from Japan to the U.S. market. The agreement calls for Central Gulf to order a new carrier with a capacity of 4,000 cars. Expected to be in service by the fall of 1987, the new vessel will be chartered by Act Maritime Company, a car-carrying joint venture of Honda and Mitsui O.S.K. Lines.

Shortly before this contract was awarded, Central Gulf, a subsidiary of International Shipholding Group, announced another agreement with Toyota to transport 30,000 cars annually. Earlier this year, two other U.S. companies were awarded contracts to carry Japanese cars to the U.S. Maritime Transport Lines will carry cars for Nissan Ltd., and Overseas Shipholding Group will transport 30,000 cars per year for Toyota.