by Lloyd's List
8 August 2025 (Lloyd's List) - IT IS already no secret that Cosco Shipping — and, by extension, Beijing — wants a slice of CK Hutchison’s $2.3bn ports sale, a deal that has been indelibly marked by the US-China rivalry.
The Financial Times today added a figure to the speculation — albeit a vague one — citing unnamed sources who claim the state-owned conglomerate is seeking at least a 20% to 30% stake in the transaction.
Frankly, this does little to move the story forward. The reported stake is hardly surprising: it likely represents the upper bound China can realistically secure without triggering a strong regulatory backlash in the host countries of these port assets.
Should the deal succeed, the web of ports spanning critical global trade routes would undoubtedly bolster Cosco, which is tasked with safeguarding China’s supply chains while pursuing global expansion ambitions.
Yet there’s a dimension the headlines and coverage so far have missed: this transaction could forge deeper ties between Cosco and fellow bidder Mediterranean Shipping Co, the world’s largest container carrier, and help Cosco buffer the looming hit from the new US port fees.
The US Trade Representative measure, set to take effect this October this year, will sharply raise the operational cost of Cosco’s transpacific fleet, potentially forcing large-scale fleet redeployments and negotiations within its Ocean Alliance with CMA CGM and Evergreen.
Analysts have warned the grouping may lack sufficient ships to completely sidestep Washington’s port tax — and even if it could, rebalancing interests among members is not expected to be easy.
Becoming MSC’s partner in global terminals would give Cosco valuable leverage: a stronger hand in negotiations within the Ocean Alliance, and — in case the talks fall apart — a potential backdoor to additional capacity through vessel-sharing agreements.
For those in container shipping, beyond the familiar grand narratives about geopolitical and supply chain shifts, this is a development worth watching.
