Cosco Unit to Sell U.S. Long Beach Container Terminal

ABOUT US

CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

TRENDING: Geely-Backed Meizu Stops New Phone Development, Turns to AI and Auto Tech; Fatal Xiaomi EV Crash Raises Questions Over Door-Handle Safety; In Profile: How Morris Chang Built TSMC Into a Chipmaking Colossus

LATEST: Geely-Backed Meizu Stops New Phone Development, Turns to AI and Auto Tech; In Profile: How Morris Chang Built TSMC Into a Chipmaking Colossus; Baidu Profit Plunges 42% as AI Push Erodes Core Ad Business; Robotics Startup X Square Secures Fresh Funding Amid Valuation Surge; Fatal Xiaomi EV Crash Raises Questions Over Door-Handle Safety; DJI Challenges U.S. Drone Ban in Federal Appeals Court; China’s AI² Robotics Raises Fresh Funds at Over 10 Billion Yuan Valuation; China’s Tech Giants Wage Lunar New Year Subsidy War to Win AI Users; ByteDance’s Doubao Dominates Spring Festival Gala With 1.9 Billion AI Interactions; At China’s Spring Festival Gala, Robotics Becomes Big Business; Pentagon Retracts Chinese Military Companies List Twice in Two Days; Alibaba Unveils Qwen3.5-Plus, Undercutting Gemini 3 Pro on Cost; Pentagon Blacklists Alibaba, Baidu and BYD Over Alleged Military Ties; ByteDance Unveils Doubao 2.0 AI Model to Tackle Complex Tasks; Hollywood Isn’t a Fan of ByteDance’s New AI Video Tool; China Plans to Make Liability Insurance Mandatory for Drones by 2027; Dutch Court Orders Probe Into Nexperia, Keeps Wingtech Frozen Out; SMIC Revenue Rises as Profit Slips on Expansion Costs; Galaxea AI Raises $144 Million as China’s Robot Investment Frenzy Mounts; Beijing Orders Telecom Overhaul to Track Drones in Lower Skies

By Jia Tianqiong and Han Wei / May 01, 2019 12:42 AM / Business & Tech

Photo: VCG

A unit of China’s state shipping giant Cosco Shipping Holdings said it would sell its American container port to address security concerns of the U.S. government.

Hong Kong-based shipping line Orient Overseas International Ltd. (OOIL) said Tuesday that it agreed to sell the Long Beach Container Terminal business in Southern California to a consortium led by Macquarie Infrastructure Partners for $1.78 billion.

The sale is part of Cosco’s agreement with the U.S. government to clear its $6.3 billion takeover of OOIL in 2017.

The Long Beach terminal is the second-largest port in the U.S. after nearby Los Angeles. The port imported 6.8 million TEU (twenty-foot equivalent units) in 2016, and about 66% of its freight volume is with China.

OOIL said it expects to book an estimated gain before tax of about $1.09 billion from the sale.

Share this article

Open WeChat and scan the QR code