Greece is rapidly advancing a legislative plan to transform Elefsina (Eleusis) into a critical energy and transnational logistics hub, a move directly backed by the US to establish a strategic alternative to the Port of Piraeus, which is controlled by China’s COSCO.
China’s dominance at Piraeus
The impetus for this plan stems from China’s significant investment in Greece. COSCO took over the operation and majority stake of the Port of Piraeus during the Greek financial crisis, a time when Western countries were reluctant to invest.
US concerns over this growing Chinese influence were recently highlighted by US Ambassador to Greece Kimberly Guilfoyle, who called COSCO’s acquisition of Piraeus an “unfortunate event” and suggested that “there are ways to bypass this.”
The Elefsina initiative: A US-backed counterbalance to Piraeus, controlled by China
The core of the Greek government’s plan involves leveraging the Elefsina Shipyards and the massive investment by the US government. The American state development bank, the Development Finance Corporation (DFC), has provided $125 million in financing to ONEX, the company managing the Elefsina Shipyards.
Pending new legislation, ONEX will be authorized to expand its activities beyond shipbuilding into the commercial, logistics, port, energy, and defense sectors. This legislative framework is being immediately expedited.
The proposed plan creates a multi-use port by incorporating the existing shipyard facilities and an additional 400 acres adjacent to the main Elefsina harbor. This port will be capable of serving military vessels and commercial ships carrying both bulk cargo and containers.
In combination with the nearby Thriasio Freight Center, the new multi-purpose port is expected to serve as a substantial alternative to the Port of Piraeus, despite its smaller size.
US Ambassador Guilfoyle on strategic importance of Elefsina port
The initiative was finalized during a recent meeting between Greek Development Minister Takis Theodorikakos and US Ambassador Kimberly Guilfoyle at the Ministry of Development.
Minister Theodorikakos emphasized that the strategic partnership with the US not only establishes Greece as an energy hub but also strengthens Greece’s economic transformation, competitiveness, and security, creating thousands of quality jobs. Ambassador Guilfoyle stressed the strategic importance of the project, saying, “We look forward to the expansion and use of the Elefsina port as a logistics hub in this important geopolitical region. It is a critical step forward.”
She also linked energy security to national security, referencing the shift away from Russian gas towards US LNG, which will be facilitated by the new logistics hub.
