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The Panamanian government on Monday launched an investigation into a Hong Kong company using a port at either end of its canal, after US President Donald Trump warned that he wanted to restore the waterway because of of Chinese influence.
In his inaugural address on Monday, Trump reiterated criticisms he has made in recent weeks about the Panama Canal, which handles about 3 percent of the world’s maritime trade each year.
In response, PanamaThe Office of the Director General published a video on the X media platform of about 10 men and women in suits loading a bus to the offices of Hutchison Ports in Hong Kong to begin the inspection, in a manner seen as demeaning. to Trump.
“Today our inspectors have arrived (at the company) to begin a comprehensive inspection aimed at ensuring the efficient and transparent use of public resources,” the director general’s office said in X.
Hutchison Ports, the Hong Kong-listed assembly ports arm CK Hutchison Holdingsoperates 53 ports in 24 countries including the UK, Germany and Hong Kong.
It first won permission to operate two ports, one at the other end of the channel, in 1997, the year Hong Kong was returned to Chinese rule by the UK. The contracts were renewed in 2021.
Controlled by the Li Ka-shing family – one of the richest in Asia – CK Hutchison Holdings also handles major global infrastructure projects including Northumbrian Water in the UK and Australian Gas Networks.
China does not control the canal, but some officials in Washington are very concerned about the presence of Chinese companies in the region. The Hong Kong government has aligned itself closely with China since the collapse of pro-democracy protests in 2019 and the introduction of tough national security laws.
CK Hutchison did not immediately respond to a request for comment on the Panamanian audit.
The US oversaw the construction of the canal, which opened in 1914, but returned full control to the Central American country in 1999. Trump has called the move “a mistake” and condemned the high tariffs.
Tolls across the canal, which uses fresh water to operate its locks, have increased significantly since then. major drought in 2023 it led to restrictions and later changes in how slots are allocated.
“We have been treated very badly by this stupid gift that should never have been made,” Trump said. “We didn’t give it to China, we gave it to Panama and we’re taking it back.”
Panama has long been one of the US’s closest allies in Central America and has been trying to stop immigration to the United States through it. The infamous Darién Gap. The country cut ties with Taiwan to accommodate China during Trump’s first term in 2017.
President of Panama José Raúl Mulino a person who lacks law and order – on Monday he published a strong statement “absolutely rejecting” Trump’s words and said that the canal will always belong to Panama.
He added that no country interferes with the canal system and that dialogue is the best way to solve the problems that Trump has raised. He also disagreed with Trump’s stance that the US is returning the canal to Panama.
He wrote to X.
