The Tamesis
BlackRock consortium’s plan to acquire dozens of ports from Hong Kong’s CK Hutchison Group has been thrown into doubt by Chinese state-owned shipping giant Cosco’s demand for a majority stake in the deal, a new report says.
BlackRock and partner Mediterranean Shipping Co are considering walking away from a $22.8 billion takeover deal, sources familiar with the takeover discussions said 43 ports in Asia, the Middle East and Europeif COSCO insists on controlling the new entity, according to Financial Times.
Hutchison Whampoa said in March it would sell ports in 23 different countries to a consortium led by BlackRock and a subsidiary of Swiss-Italian shipping group MSC controlled by the Aponte family, including two ports near the Panama Canal.
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This acquisition is Praise from US President Donald Trump Earlier this year, he said he wanted to take back control of the Panama Canal, but was slammed by Beijing, which called the sale a “commercial move.” Betrayal of China’s interests.
China has sought to block and reframe the acquisition, insisting it has the right to review the deal despite the fact that none of the ports are on the mainland.
However, although BlackRock and MSC were willing to offer Cosco equal shares to acquire 41 ports (excluding the two ports in Panama sought by the United States), they later demanded that Cosco take a majority stake. wall street journal reported last week.
BlackRock and MSC reportedly said demands for majority control and veto power in port operations were unacceptable. The White House reportedly agreed.
A White House official said: “The president has made clear that China’s control of the Panama Canal is unacceptable, violates the U.S.-Panama Treaty, and jeopardizes our national and economic security.”
A senior Chinese official told the Wall Street Journal that Beijing wants to make port controls a negotiating point in U.S.-China trade and tariff talks, as the Journal has revealed. Asia Financeand others, July.
Meanwhile, Panamanian officials reportedly plan to Two plots of land for sale Ports on both sides of the canal will be developed as container ports, which could open the door for the United States to exert greater “influence” on the waterway, but government entities such as COSCO Group will be barred from bidding, the Wall Street Journal reported.
See also:
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China threatens to block Panamanian port deal, “hopes to gain COSCO shares”
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China warns CK Hutchison, BlackRock: be cautious about port deals
Trans-Pacific freight trade takes a hit from Trump’s tariff war
Clouds cloud over Panama port trade: China slams Hong Kong shipowners’ sell-off
China and CK Hutchison ‘seeking solutions to $23 billion port deal’
U.S. port fee proposal adds to U.S.-China trade concerns
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US investigation shows China unfairly dominates shipbuilding industry: sources
