COSCO: China's second Navy?-Shanghai International Maritime Information and Literature website

COSCO: China's second Navy?
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PostTime:2010-07-30 08:28:21.0 View:21
General Manager Sun Jiakang of COSCO Container Lines Company Limited (COSCON) said the company's business growth came across political obstacles in U.S.A. COSCON is a subsidiary company of China Ocean Shipping (Group) Company (COSCO). Sun said it was impossible for Chinese companies like COSCO to invest in American ports. 'American regard COSCO as Chinese second Navy. If COSCO intends to invest in an American port, American will feel that it's Chinese Navy's behaviors,' said Sun. In Africa, COSCO faces the same dilemma due to local political turmoil. 'Moreover, there is no abundant skilled labor force,' added Sun. In Europe, it is known that COSCO has occupied Piraeus, which is the largest port in Greece. Recently COSOC also expressed that they intended to establish a logistics center valued at EURO200m. Finally Sun added that they might focus on 'BRICKS' like Brazil and India as well. During financial crisis, numerous shipowners mired in fund shortage. Is it attractive for COSCON on merger and acquisition? 'Yes. We faced several opportunities but finally we gave up due to high risks. Anyway, we're always searching for hunting,' Sun answered.
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