ART OF THE DEAL

BlackRock Makes Trump’s Panama Canal Dreams Come True

The American asset management giant has agreed to help the president “take back” control of the crucial international waterway.

American asset management company BlackRock has volunteered to buy two ports at either end of the Panama Canal from their current Hong Kong-based ownership, CNN reported Tuesday. Chinese influence on the canal has angered President Donald Trump in recent weeks. He has even threatened multiple times to “take back” control of the crucial international waterway. Under a 1999 treaty negotiated with the U.S., the canal belongs to Panama, but Trump did not like Chinese ownership over some of the port operations. “China is operating the Panama Canal. And we didn’t give it to China. We gave it to Panama, and we’re taking it back,” Trump said during his inaugural address. According to the deal, which was announced Tuesday, BlackRock and other investors will spend $22.8 billion to buy the ports of Balboa and Cristobal at both ends of the canal from Hong-Kong company CK Hutchison. The deal is an “agreement in principal.” BlackRock’s consortium will also buy CK Hutchison’s controlling interest in 43 other ports comprising 199 berths in 23 countries, excluding ports it operates in China or Hong Kong. “These world-class ports facilitate global growth,” BlackRock CEO Larry Fink said in a statement. “Through our deep connectivity to organizations like Hutchison … and governments around the world, we are increasingly the first call for partners seeking patient, long-term capital. We are thrilled our clients can participate in this investment.”