China warns against proceeding with Panama port deal without thorough review

ISTANBUL

China warned all parties involved Monday against proceeding with a deal involving Hong Kong company CK Hutchison’s planned sale of most of its port operations to a US consortium led by multinational investment company BlackRock without conducting a thorough review.

“The State Administration for Market Regulation has expressed that it is paying close attention to the relevant transactions and will conduct a review in accordance with the law,” Chinese Foreign Ministry spokesman Guo Jiakun told a news conference.

All parties involved must not attempt to circumvent the review through any means and shall not proceed further before obtaining approval or they will bear legal consequences, he added.

He emphasized that China has consistently opposed economic coercion, intimidation and bullying tactics that violate the legitimate rights and interests of other nations.

“We hope that all parties concerned will act prudently and communicate fully with relevant Chinese departments,” he added, noting that Beijing welcomes foreign investment in China.

China said last month that it would review the planned sale of two ports near the Panama Canal by CK Hutchison Holdings to the BlackRock-led consortium.

CK Hutchison had announced plans to transfer control of the Balboa and Cristobal ports in Panama to a group including BlackRock, Global Infrastructure Partners and Terminal Investment Limited.

The deal follows pressure from US President Donald Trump, who has claimed that China is running the Panama Canal and has publicly said that the US should take control of the key waterway.

The sale would involve a 90% stake in the two ports being handed over by CK Hutchison to the consortium.