U.S. Questions Cosco’s Takeover of Cargo Terminal in Long Beach
A U.S. national-security review has raised concerns about Chinese state-run conglomerate Cosco Shipping Holdings Co. taking control of a large container terminal in Long Beach, Calif., according to people familiar with the matter.
The terminal is part of Cosco’s proposed $6.3 billion purchase of an Asian shipping rival, which holds a long-term concession to operate the facility at the Port of Long Beach, one of the biggest gateways for imports into the U.S.
Cosco’s takeover of Orient Overseas International Ltd. 0316 1.09% , announced in July 2017, is undergoing a review by the Committee on Foreign Investment in the U.S., a secretive federal panel that vets foreign purchases of American companies on national-security grounds.
Cosco executives met with CFIUS officials this week and proposed to divest or carve out the Long Beach terminal to satisfy U.S. concerns about the deal, the people said….
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