A London arbitration court has ruled against the country of Djibouti in a land dispute that the U.S. feared could have handed China a key supply port in Africa. Instead, the port will stay in private hands.
The Djiboutian government, which is deeply indebted to China, unlawfully seized the port of Doraleh on its coast in February from the commercial owner DP World, a panel of judges concluded. The company announced the decision Thursday.
The port provides access to Camp Lemonnier, where four major U.S. military commands operate and the bulk of the 6,500 U.S. troops in Africa are based. Gen. Thomas Waldhauser, head of U.S. Africa Command, told Congress in March that he was watching the dispute closely and was concerned Djibouti could turn the port over to Chinese control.
Such a move would be consistent with China’s “belt and road” strategy of providing financial support and loans to countries as a way to run up debt and exert influence abroad.
DP World built the port facilities and operates the terminal. The company said it is the largest employer and biggest source of revenue in the country.
“If the Chinese took over that port, the consequences could be significant if there were some restrictions on our ability to use that, because obviously the supplies that come in not only take care of Camp Lemonnier and other places inside the continent, it is a huge activity there,” Waldhauser said during the March testimony to the House Armed Services Committee.
“Moreover, our U.S. Navy ships come in and out of there to refuel and whatnot. There could be some consequences, that is why it is important to watch this,” he said.
The Djiboutian government is about $1.5 billion in debt to Beijing, according to Waldhauser.
Last year, China opened its first foreign military base near Camp Lemonnier and is working to expand its influence on the continent.
