Particle.news
Download on the App Store

China Warns Panama After Court Voids CK Hutchison's Canal Port Contracts

Panama is arranging a temporary handover to APM Terminals to keep the canal ports running.

Overview

  • The Supreme Court annulled long-standing concessions for the Balboa and Cristóbal terminals held by Panama Ports Company, a CK Hutchison unit, declaring the contracts unconstitutional.
  • Panama moved to ensure continuity, with APM Terminals set to provide temporary oversight pending a new lease process, according to local reports.
  • Beijing and Hong Kong authorities condemned the decision, with China’s Hong Kong and Macau Affairs Office warning Panama of political and economic costs.
  • The U.S. ambassador in Panama welcomed the ruling as an affirmation of the rule of law and accountability for private operators.
  • Panamanian prosecutors and the comptroller cited irregularities and roughly $1.2 billion in damages, while CK Hutchison called the ruling baseless and faces limited domestic avenues to challenge it.