A potential Trump casino in Macau may see ripples reaching even Beijing

Christopher Cottrell says if the Trump brand does enter the fray in Macau, it is likely to further complicate the upcoming negotiations for renewal of the casino licences in the city, and lead to some political repercussions, particularly if Trump runs for re-election in 2020

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The gaming concession clock is ticking down in Macau. In 2020, the first of the licences for the city’s six casino operators will start to expire. Photo: EPA

Published: 4:13pm, 8 Aug 2017Updated: 4:13pm, 8 Aug 2017

It’s official – the Trump brand may have plans for a casino in Macau. In June, a company linked to US President Donald Trump applied for four trademarks under the brand in the special administrative region, including one for casino services.

What will this mean for Macau’s business climate as the gaming concession clock ticks down to 2020, when the first of the licences for the city’s six casino operators start to expire?

The former Portuguese colony had moved to liberalise the casino monopoly following the handover in 1999. After a bidding war in 2001, the government awarded gaming concessions to three operators. But since there are no laws prohibiting the operators from sublicensing their concessions, the three operators soon doubled to six.

Stanley Ho Hung-sun’s Sociedade de Jogos de Macau (SJM) and its sublicensee MGM China will see their concession expire on March 31, 2020, while the other four operators – Galaxy Casino and sublicensee Sands China, and Wynn Macau and sublicensee Melco – will see theirs run out on June 26, 2022.