EURASIAN TIMES | Published January 11, 2025
In a move that has put Beijing on notice, the US has blacklisted China’s largest shipping company, Cosco Shipping Holdings Co., along with two major shipbuilders, citing their alleged ties to the People’s Liberation Army (PLA), Bloomberg reports.
At the center of the controversy is Cosco Shipping Holdings Co., a maritime giant, now listed on the US Federal Register blacklist.
The blacklisting extends beyond just shipping companies, reaching into China’s tech and energy sectors, with heavyweights like Tencent Holdings, Contemporary Amperex Technology, and the state-run oil behemoth Cnooc Ltd finding themselves in Washington’s crosshairs.
Notably, Cosco and Cnooc are no strangers to U.S. sanctions. In 2019, Cosco faced penalties for transporting Iranian oil, though these were lifted in 2020. Meanwhile, Cnooc, among the first Chinese state-owned enterprises sanctioned by Washington, found itself on a Pentagon blacklist in 2021.
A 2020 report by the Center for Strategic and International Studies flagged COSCO as the “maritime supply arm of the PLA,” highlighting its logistical support to the PLA Navy’s operations in the Gulf of Aden since 2008.
Although the blacklist imposes no immediate or direct penalties, it serves as a deterrent for US businesses, discouraging partnerships with these Chinese companies and escalating the ongoing geopolitical rivalry.
Interestingly, according to Bloomberg Intelligence, Cnooc still maintains a presence in US energy projects, with shale and deepwater ventures, as well as exploration blocks in the Gulf of Mexico.
This move signals a broader focus on maritime transport and shipbuilding amid growing concerns over China’s maritime militia, often referred to as a “shadow force.” The strategic use of civilian fleets with military backing has heightened tensions, placing China firmly under U.S. scrutiny as it bolsters its covert naval capabilities.
With these developments coinciding with Donald Trump’s return to the White House, US-China maritime competition appears to be intensifying.
READ FULL ARTICLE
SOURCE: www.eurasiantimes.com
Be the first to comment