Hong Kong’s commerce chief on Friday summoned Panama’s Consul General in the city to protest a court decision that cancelled CK Hutchison’s contract to operate two ports at the Panama Canal.
The meeting followed warnings from China’s Hong Kong and Macau Affairs Office earlier this week, which said Panama would pay a “heavy price” for the ruling.
Hong Kong’s Secretary for Commerce and Economic Development, Algernon Yau Ying-wah, told Panamanian Consul General Jose Ramon de Jesus Varela Fabrega that the government strongly opposed the Panama Supreme Court’s decision. According to Hong Kong officials, Yau said CK Hutchison had invested heavily in Panama for years and helped create local jobs.
He accused Panama of damaging its international credibility and warned the move could hurt the country’s business climate, economic development, and global trade rules. Yau urged Panama to respect the contract and ensure fair treatment for companies legally operating in the country.
CK Hutchison has begun challenging the decision through international arbitration via its unit Panama Ports Company.
Panamanian President Jose Raul Mulino described the ruling as final on Thursday and said he did not expect the situation to worsen, adding that Panama would not accept threats from any country.