The search of CK Hutchison’s subsidiary marks the newest flashpoint within the rising US-China tensions over management of Panama’s important commerce canal.
Revealed On 27 Feb 2026
Authorities in Panama have reportedly searched and eliminated property from the subsidiary of a Hong Kong firm that has been on the coronary heart of current tensions between the US and China over the Panama Canal.
In an announcement on Friday, the Panama Ports Firm (PPC), a part of the Hong Kong conglomerate CK Hutchison, mentioned the Panamanian authorities “acted in disregard for the rule of legislation”.
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It decried what it known as “the newest steps to invade and take the property of PPC” throughout a search on Thursday. It additionally accused authorities of coming into a non-public storage web site with out discover and ignoring requests to safeguard delicate company information.
Panama Ports Firm has been underneath elevated scrutiny following US President Donald Trump’s claims that China was asserting an excessive amount of affect over the arterial commerce canal, which connects the Pacific Ocean to the Atlantic.
Panama’s authorities has robustly denied Chinese language management of the waterway.
However final month, the nation’s Supreme Courtroom annulled offers that gave the Panama Ports Firm management over two canal ports. The courtroom dominated that the concessions offered to the corporate had been unconstitutional.
China has alleged that the courtroom case was a response to “hegemonic” stress.
It condemned Panama’s seizure of the ports in addition to its choice to briefly faucet the Danish Maersk firm and Switzerland-based MSC to run the ports till a brand new settlement is reached.
Panama’s President Jose Raul Mulino, in the meantime, warned China to “watch out” in its manoeuvring.
“They want us greater than we’d like them,” he mentioned.
The 2 ports in query, the Balboa Port on the Pacific Ocean aspect and the Cristobal Port on the Atlantic finish, deal with about 39 p.c of all of Panama’s container visitors.
The ports are situated on the entrances of the Panama Canal, however they don’t fall underneath the supervision of the autonomous Panama Canal Authority that operates the waterway.
Previous to taking workplace, Trump repeatedly mentioned he wished to take management of the Panama Canal, claiming that the US was being “ripped off” by its toll costs.
The canal had beforehand been managed by the US, however it was handed over to Panama in 1999 underneath a 1977 treaty signed by then-President Jimmy Carter.
Previous to Friday’s raid, CK Hutchison had agreed to a $23bn sale of dozens of ports worldwide, together with the Panamanian terminals, to a consortium led by the US multinational BlackRock and the Mediterranean Transport Firm.
The deal, which has confronted repeated delays, has been criticised by Beijing however welcomed by Trump.
