China's Stake in World Ports Sharpens Attention on Political Influence

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China's Stake in World Ports Sharpens Attention on Political Influence
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In our second instalment of CovertChina: Chinese companies are investing heavily in ports and shipping. The Communist Party is always on board.

Inching up the Elbe river to the German port of Hamburg in early September, colorful containers stacked on deck like outsized pieces of Lego, the Libra looked like any other massive vessel plying the world's oceans. Yet she was more than a commercial ship seeking haven.

Ships like the Libra belonging to China COSCO Shipping Corporation are increasingly evident at nearly 100 ports where it and other Chinese companies have stakes. These include five ports in the United States: in Miami, Houston, Long Beach, Los Angeles and Seattle. Highlighting that overlap of interests, about one-third of the ports where Chinese companies made commercial investments have hosted ships of China's People's Liberation Army navy.Newsweek's reporting, and an internal COSCO publication, show how the Communist Party operates inside a company that presents itself as a modern business partner abroad but proclaims at home it"follows the party's direction and sails for the motherland.

Chinese President Xi Jinping is seen on a large screen during a cultural performance celebrating the 100th anniversary of the founding of the Communist Party of China, at the Bird's Nest national stadium in Beijing in June, 2021.As a state-owned enterprise, the party's powerful Organization Department appoints senior officials. COSCO chairman Xu Lirong is also company party secretary. This system is known as"one organization, two brands.

Crew attending a political study session on board a ship. On the table are ideological texts. In the corner, a video screen beams in the General-Secretary of the Communist Party of China, Chairman Xi Jinping.The system fans out across the world. Newsweek was able to identify 40 COSCO ships with party branches. According to leaked party lists from Shanghai, the branch on the Piraeus has 64 members, the New York 23, the Africa 52 and the Surabaya 24 — but the data isn't complete.

It is a risk for other countries, said Martin Hala, the founder of Sinopsis, a think tank in Prague, Czechia.

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