Panamanian authorities have reportedly raided the office of a subsidiary of Hong Kong conglomerate CK Hutchison Holdings that previously operated two ports at either end of the country’s canal, days after the terminals were taken over against the company’s will.
According to Panamanian media on Thursday, local authorities had searched the office of the Panama Ports Company, which operated the Balboa and Cristobal ports until this week. Boxes of documents were seen being taken away during the raid.
The operation came on the same day that CK Hutchison, led by the family of Hong Kong tycoon Li Ka-shing, vowed to pursue all possible legal action, both domestically and internationally, to protect its interests, calling Panama’s move to take over its two ports unlawful.
The conglomerate issued the warning in its second statement in a week after the Panama Maritime Authority acted on a presidential decree allowing it to take over and operate the two ports at either end of the Panama Canal.
The move followed a Panamanian Supreme Court ruling last month that declared unconstitutional the law approving the concession held by CK Hutchison’s subsidiary, Panama Ports Company (PPC).
“PPC has been advised that the ruling, the executive decree and corresponding actions taken by the Panama state relating to the operations of PPC’s terminals at the two ports are inconsistent with the relevant legal framework and the law that approved the concession contract,” the statement read.
“The group continues to work with its legal counsel, has reserved all its rights, and intends to take all legal steps properly available to it to protect the group’s interests, including recourse to additional national and international legal proceedings in the matter.”
On Tuesday, CK Hutchison had condemned what it described as the uninvited takeover of its ports by Panamanian authorities, calling it “the culmination of a campaign” against PPC.
It said Panamanian government representatives had made direct physical entry into the two ports, telling PPC that the concession “no longer exists” and instructing its staff to follow their orders “under threat of criminal prosecution”.
The conglomerate warned that Panama would be responsible for “any harm and damage caused by the confiscatory actions it has taken”.
Secretary for Commerce and Economic Development Algernon Yau Ying-wah earlier lodged a “strong protest” with Panama’s consul general in the city, expressing dissatisfaction with the country’s actions and stressing that the government was firmly committed to safeguarding the rights of Hong Kong’s overseas enterprises.
Panama’s takeover caps a year-long dispute over control of the two ports on the key shipping route, which has become a flashpoint in the geostrategic rivalry between Washington and Beijing.
United States President Donald Trump earlier pledged to “take back” the canal from what he claimed was Chinese control.
The dispute also intersected with a separate attempt by CK Hutchison to sell more than 40 ports worldwide in a deal with a consortium led by US asset management giant BlackRock and shipping group MSC.
The deal drew Beijing’s ire, and Chinese regulators subsequently launched a comprehensive antitrust review in late March 2025, effectively halting the sale.
Reports indicated that Beijing sought a greater role for state-owned shipping giant Cosco in any arrangement involving the Panama terminals.
The South China Morning Post has approached CK Hutchison for a response regarding the reported raid. -- SOUTH CHINA MORNING POST
