The Chinese government has strongly criticised a ruling by Panama’s top court to void CK Hutchison’s contract to operate two ports, describing it as “extremely absurd”. Beijing warned that Panama would pay a “heavy price” if it does not reverse its decision. CK Hutchison is a multinational conglomerate with operations spanning various sectors, including ports and related services. It focuses on creating long-term value for its shareholders by managing a diverse portfolio of businesses globally.
The Beijing office overseeing affairs in Hong Kong stated that the ruling disregarded facts and severely damaged the legitimate rights and interests of the Hong Kong-based enterprise. In a commentary posted on WeChat, the office accused Panama of succumbing to hegemony and yielding to intimidation, instead of defending its independence as a sovereign state. The statement is the starkest rebuke yet by Beijing over the ruling last month, which has emerged as a geopolitical flashpoint between the US and China.
The Hong Kong and Macao Affairs Office asserted that Panamanian authorities must recognise the situation and correct their course. It warned that persisting in this misguided path would result in a heavy price, both politically and economically. The two ports are located near the strategic Panama Canal.
Without directly naming the US, the Beijing office criticised certain countries for using national security or geopolitics as pretexts to coerce others into submission. The commentary stated that this politicisation of commercial issues incites conflict and decoupling, running counter to the global trends of peace and cooperation. China’s Foreign Ministry and the Hong Kong government have also criticised the ruling, while US Secretary of State Marco Rubio praised it as an encouraging development.
