The $6.3bn planned takeover of Hong Kong’s Orient Overseas Container Line (OOCL) by Cosco Shipping is another potent symbol of China's power.

The deal would propel the Beijing-based behemoth up the world container shipping rankings to number three behind Mediterranean Shipping Co.

There is already speculation that Cosco has its eye on the 24% share holding in fourth-placed CMA CGM that is up for sale.

The French company is another part of the Ocean Alliance container partnership alongside OOCL and the Chinese mainland carrier.

Many people believe Cosco will only really be content when it has beaten AP Moller-Maersk to the top spot of box shipping.

There are many reasons why this OOCL takeover has significant local commercial logic but it is surely about global politics too.

OOCL may be currently making losses like almost all other box ship operators but it is a smartly organised business.

It is also strong on customer service, fleet management and information technology — all areas where Cosco can learn.

The latest container sector consolidation — with an eye-wateringly generous premium — offers the chance for the kinds of synergies and cost savings that have driven a wave of takeovers in this sector at a difficult time.

OOCL after all has just reported an annual loss of $220m but the future looks better: many believe container shipping is over the worst.

Cosco is a state-owned group ultimately controlled by the ruling Communist Party with strategic goals that can override balance sheet considerations anyway.

The purchase of a Hong Kong business jewel such as OOCL comes barely a week after the 20th anniversary of the former UK crown colony to Beijing. Cosco has promised to keep the OOCL name and commitment to Hong Kong but the territory is surely not a winner from this deal.

And Xi Jinping’s visit there for the celebration ceremonies came with a message that no one had a right to “interfere” with Chinese rule.

That was a slap in the face for UK ministers and pro-democracy campaigners who wanted to hear Hong Kong still had special status.

Roots date back to 1969

OOCL was itself formed in 1969 by a man, Tung Chao-yung (CY Tung), who had fled Shanghai during the Communist takeover.

But the history of the Tung family, which still controls 70% of OOCL, and the Chinese government has been far from acrimonious since.

The Hong Kong-based shipping line would have gone broke in the 1980s freight rate downturn if it had not been for financial support from state-owned Bank of China.

And CY’s son, Tung Chee Hwa (CH Tung), who took over as OOCL chairman when his father became ill in 1979, was made the Hong Kong territory’s first chief executive, a position that would have been unlikely without Beijing support.

Equally, the extremely generous OOCL buyout is being part financed again by the Bank of China and surely fits into a picture of Cosco first merging with local rival China Shipping and then playing a wider role on the world stage.

President Xi is keen on “soft” diplomatic power and has recently pledged $120bn on rolling out his Silk Road to expand China’s links with Europe, Africa and Asia.

Cosco has already been expanding its global port presence by purchasing Piraeus and container terminals in Spain.

The OOCL deal would — if regulatory approval is given — serve up Cosco with dockside space at Long Beach in California.

It will be interesting to see whether a more protectionist US president in Donald Trump will waive this through or try to stop it.

Back in 2005, US politicians derailed a proposed takeover of local oil company Unocal by China’s CNOOC. The following year they effectively halted DP World of Dubai gaining access to six P&O terminals in the US, including New York.

Whatever happens landside, Cosco will become the second-biggest shipper of US containerised cargo by sea.

The other side of the story of course is what will the Tung family do now that they have sold out of their flagship company?

They will use part of their cash mountain no doubt to expand their private shipping interest, Island Navigation.

But if you want to know what the future of global container shipping holds then forget Hong Kong. Look to Cosco, to Beijing, to China.