China has criticized CK Hutchinson’s sale of a major stake in two Panama ports to BlackRock, sending the company’s shares tumbling 6.7% on Friday.
The move is seen as part of US power politics, sparking national interest concerns in China. Analysts view the deal as strategic, reducing geopolitical risks for CK Hutchinson.
CK Hutchinson’s Hong Kong-listed shares fell to their lowest level since September 2022, with its market value plummeting to around $23 billion.
The $22.8 billion deal was announced last week after US President Donald Trump threatened to regain control over the Panama Canal. The move has drawn China into a heated dispute with the US, with Beijing accusing Washington of using “state power” to encroach on legitimate rights and interests of other countries.
Ta Kung Pao, a state-owned Hong Kong media outlet, criticized CK Hutchinson for being “spineless” and “profit-seeking,” saying the deal disregards national interests and betrays Chinese people. Analysts at CreditSights see the deal as positive for CK Hutchinson, citing its attractive price and removal of geopolitical risks.
The development highlights how private companies are caught in the crosshairs of US-China tensions, with companies advised to “think carefully” about their position on the issue.
Source: https://www.businessinsider.com/panama-canal-blackrock-ck-hutchinson-deal-company-us-china-fight-2025-3