World
2 Panama Canal ports have dragged Panama into a tussle between superpowers
5 minute read Updated: Yesterday at 1:29 PM CSTPANAMA CITY (AP) — Two ports run for years by a Hong Kong-based company at either end of the Panama Canal have thrust Panama into a geopolitical tug-of-war between the United States and China.
Even before taking office for his second term, U.S. President Donald Trump complained that China was running the Panama Canal, because of concerns over the Hong Kong-based parent of the company running the ports on either side.
The Panamanian government, which operates the canal, strongly denied any Chinese control over the waterway. But in late January, Panama’s Supreme Court ruled that the concession made to a local subsidiary of Hong Kong’s CK Hutchison was unconstitutional. Panama has maintained it is acting only in accordance with the law, but China has alleged that the court case is a reaction to “hegemonic” pressure.
This week, the Panamanian government occupied the two ports and designated two other companies to keep them running until the concession can be rebid. And on Thursday, investigators removed boxes of documents from Panama Ports Co.
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