China has criticized a planned deal by a Hong Kong conglomerate to sell ports in Panama and elsewhere to an American investment group, warning that it will deprive China of influence over key shipping routes. The deal, worth $19 billion, involves the sale of ports at both ends of the Panama Canal and 40 other global ports.
The criticism comes as President Trump has raised concerns about Chinese control of the Panama Canal, which Beijing initially dismissed. However, a Hong Kong newspaper owned by the Chinese government, Ta Kung Pao, has denounced the deal, warning that it will allow the US to use the canal for “political purposes” and subject China’s shipping and trade there to US influence.
The commentary has sparked tension between China and Li Ka-shing, the Hong Kong billionaire behind CK Hutchison. Relations between Li and Beijing have deteriorated since Xi Jinping took office in 2012, with Li previously expressing sentiments sympathetic to Hong Kong protesters.
China has a history of interfering in commercial transactions, as seen in its refusal to approve a $3 billion sale of Soho China to another American investment giant, Blackstone. The Chinese government’s actions on this deal suggest it will not let go of its concerns over US influence in the Panama Canal.
Source: https://www.nytimes.com/2025/03/14/business/panama-canal-ck-hutchison-blackrock.html