CK Hutchison Panama Ports dispute heads to international arbitration, scholars say case entangled in US-China geopolitics
發佈日期: 2026-02-04 20:28
TVB News
CK Hutchison Holdings' subsidiary, Panama Ports Company, has started arbitration proceedings against Panama after the country's Supreme Court ruled a concession for the subsidiary to operate Panama Canal ports to be unconstitutional.
The company also issued a statement, calling the Panamanian government to resolve the dispute through dialogue.
Panama's Supreme Court earlier ruled that the CK Hutchison Holdings subsidiary Panama Ports Company's operation of ports at both ends of the Panama Canal was unconstitutional.
The Panamanian government then announced it would begin taking over the company's operations.
In a fresh statement, Panama Ports Company strongly urged the Panamanian government to provide a clear explanation and to resolve the matter through negotiations.
The company says over the past year, the Panama government had taken a series of actions and made what it described as unjustified attacks against the company and its concession agreement, causing serious and imminent losses.
As a result, on February 3rd, the company began arbitration proceedings under the rules of the Paris-based International Chamber of Commerce, or ICC.
The company added that the Panamanian government had begun large-scale takeover actions against the company, citing the "systematic implementation" of a port transition plan.
It criticised the authorities for carrying out forced inspection based on an unpublished court ruling.
The company stressed it is still making efforts to maintain port management and is engaging with government representatives in a respectful manner, including requesting access to the transition plan and seeking opportunities for dialogue and coordination.
Meanwhile, China's Hong Kong and Macao Affairs Office criticised Panama Supreme Court's ruling on social media as a breach of trust that seriously undermines the legitimate rights and interests of Hong Kong enterprises.
It warned that if Panama insist on pressing ahead, they will pay a heavy price both politically and economically.
Hong Kong legislator and lawyer Nicholas Chan, who had served as a member at the government's Advisory Committee on Promotion of Arbitration, says international commercial disputes are usually resolved according to arbitration clauses agreed upon when contracts are signed.
In this case, the contract stipulates that disputes be referred to the International Court of Arbitration under ICC.
With proceedings seated in New York, a ruling is expected to take three to four years.
But he said it is often difficult to implement any ruling.
Consultant to the Chinese Association of Hong Kong and Macao Lau Siu-kai says the dispute involves major geopolitical considerations -- it's not just a commercial dispute.
He says given that the U.S. has used force against Venezuela, the Panamanian government naturally fears that Trump would use force to reclaim control of the Panama Canal.
As a result, it has used judicial means as a pretext to seize the two ports from CK Hutchison.
He added it would be difficult for CK Hutchison to overturn Panama's political decision, and that the company's only realistic option at this stage is to seek financial compensation through arbitration.
