Syria grants Latakia Port to French CMA CGM, including Turkish holding stake
Birds fly next to a container crane at the port of Latakia in western Syria on December 30, 2024. (AFP Photo)
Syria reportedly granted the operation rights for the container terminal at Latakia Port to French shipping giant CMA CGM, a move that also involves Turkish business interests through Yildirim Holding, which owns a 24% stake in the company.
The Syrian General Authority for Land and Sea Ports announced the agreement, which includes updated contract terms and a revised revenue-sharing structure.
Both parties also reached a settlement on outstanding financial obligations related to past operations.
Updated terms and revenue-sharing agreement
While specific details of the revised agreement were not disclosed, a Syrian source familiar with the negotiations told Reuters that discussions focused on:
- Revenue distribution, with Syrian authorities seeking a larger share compared to the previous contract.
- Contract duration, with efforts to shorten the lease period.
- Infrastructure improvements, including the addition of a new ship deck to enhance terminal operations.
CMA CGM has operated the Latakia Port terminal since 2009, with its lease renewed under former Syrian President Bashar al-Assad’s government in October 2024 for an additional 30 years.
However, following the fall of Damascus to opposition forces on Dec. 8, Assad was removed from power, and the country is now under the authority of a transitional government led by Ahmed al-Sharaa.
The future of the port agreement under this new leadership remains uncertain.
Latakia Port: Syria’s key trade gateway
Latakia Port is Syria’s main maritime trade hub, handling a significant portion of the country’s imports and exports. Given its strategic importance, any changes in its administration or operational management carry broader implications for Syria’s economic and geopolitical landscape.
CMA CGM’s continued involvement under the new agreement reinforces its longstanding presence in the region, while the revised contract terms reflect the Syrian authorities’ efforts to maximize state revenue and improve infrastructure.
Yildirim Holding’s stake in CMA CGM
CMA CGM is controlled by Franco-Lebanese billionaire Rodolphe Saadé and his family, but it also has Turkish business ties through Yildirim Holding.
Turkish businessman Robert Yuksel Yildirim, who serves as a board member of CMA CGM, first invested $500 million in the company in 2011, acquiring convertible bonds that granted him a 20% stake.
In 2013, he invested an additional $100 million, raising his stake to 24%.
Originally, the investment agreement allowed Yildirim Holding to sell its shares back to the Saadé family within two years, but the process evolved differently. Today, Yildirim Holding remains a major stakeholder, further linking Turkish business interests to the operations of Latakia Port.
