Cosco expands its share of Piraeus port in Greece to 67%

State-owned China Cosco Shipping, China’s largest maritime freight company, increased its stake in Greece’s largest port to 67%, giving the company control over an important link in China’s Belt and Road Initiative (BRI), or Silk Road, infrastructure project.

An event was held on Monday to mark the completion of the transfer to Cosco of an additional 16% stake in the port of Piraeus on the Mediterranean Sea, a hub for container ships for Europe, the Middle East, and North Africa.

Cosco says China’s involvement in Piraeus has helped the port’s development, citing increased container traffic. But the Chinese presence remains controversial, both among locals that accuse Cosco of not meeting its obligations, and among countries like the United States, which have expressed concern about possible military uses.

Cosco acquired a 51% stake in operator Piraeus Port Authority in 2016 for around 280 million euros ($326 million at current rates). The company did not provide details about the additional investment.

With the second phase of the share acquisition, the carrier will expand its revenue and launch new transport routes to transform the port into a regional logistics distribution center, President Xu Lirong said, according to an announcement on Monday.

Source: Valor Econômico

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