China is reviewing its decision to allow BlackRock, a US investment firm, to acquire control of the Panama Canal ports. The review comes amid growing concerns about foreign ownership and national security in the region.
The move follows increased scrutiny from Chinese regulators and lawmakers over the deal. It also reflects China’s efforts to strike a balance between economic growth and national interests.
BlackRock acquired the 50% stake in the canal’s container terminal operator, APM Terminals, in a $3.4 billion deal in 2020. The acquisition has been seen as a strategic move by BlackRock to expand its presence in Latin America and increase its influence in global trade.
The review of the deal is part of China’s efforts to ensure that its sovereignty and national security are protected. Chinese officials have expressed concerns about the potential risks associated with foreign ownership of critical infrastructure, including the Panama Canal.
The decision to review the deal will likely have implications for BlackRock’s operations in Latin America and beyond. It also highlights the increasingly complex and nuanced nature of international trade and investment deals.
Source: https://www.ft.com/content/068d640d-358f-4b9a-95c4-49335ffd0c07