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"Tell Congress: Stop China's US Port Takeover"
Tell Congress: Stop China's US Port Takeover
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A Chinese state-run conglomerate, COSCO Shipping Holdings Company, is on track to buy out its competitor, Orient Overseas International. The deal would make COSCO the world’s third-largest shipping container carrier, double its share in the U.S. market and give it control of the Long Beach facility, which Orient Overseas International had a long-term concession to operate. The Long Beach deal is properly understood in the context of China’s ongoing acquisition of ports and naval facilities in strategic locations around the world, and its stated intention to replace the U.S. as the world's dominant superpower. In 2016, Beijing extended its tentacles into the Mediterranean when COSCO gained control of the Greek port of Piraeus. Athens surrendered its sovereign powers, allowing the company under the control of the Chinese Communist Party “to act as owner, regulator, operator, and developer of the entire port,” National Review reports. Soon, China’s navy was making port calls and conducting military exercises in the Mediterranean. The European Union warned that China is using its investments in ports and other assets to further Chinese interests and companies. Another Chinese state-owned company, China Merchants Port Holdings, acquired a large stake in the African port of Djibouti, next to an American military base. Beijing soon built a naval support base there and deployed troops that are now targeting American pilots with lasers. The deal that includes China’s takeover of Long Beach port operations is scheduled to be completed in June, but it must first be approved by the Committee on Foreign Investment in the U.S., CFIUS, the multi-agency panel that reviews national security threats posed by foreign purchases of American companies or assets. Congress should let CFIUS know Long Beach port operations must be divested from the larger COSCO deal and it should bar any other Chinese-controlled or Chinese-funded company from operating the Long Beach port.
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