Panama's president says port contracts will not be issued to a single operator

By Elida Moreno

Thu, February 5, 2026 astatine 10:41 AM CST 1 min read

By Elida Moreno

PANAMA CITY, Feb 5 (Reuters) - Panamanian President Jose Raul Mulino said connected Thursday that the concession of contracts ​to run 2 ports held and operated for astir ‌three decades by Hong Kong's CK Hutchison Holdings volition "never again" beryllium issued to a ‌single company.

Panama's Supreme Court past week nullified CK Hutchison's declaration to run 2 ports on its strategical canal done its Panama Ports Company subsidiary, ruling that the contracts violated the Central American nation's constitution by giving ⁠the institution exclusive privileges ‌and taxation exemptions.

"I don't expect this concern to escalate," Mulino said, calling the court's determination definitive. "Panama is simply a ‍dignified state and volition not let itself to beryllium threatened by immoderate state connected earth."

On Tuesday, China warned Panama determination would beryllium "heavy prices" to wage ​for the tribunal ruling which China's Hong Kong and Macau Affairs ‌Office called "absurd" and "shameful and pathetic." They vowed to support the interests of Chinese companies.

Mulino added that it was unclear erstwhile the ruling would beryllium enforced. In the meantime, the Panama Ports Company would proceed to run some ports, helium said.

"The Panamanian authorities decides connected the ⁠concession strategy to beryllium granted overmuch later," ​he added.

On Wednesday, CK Hutchison said ​its Panama Ports Company portion had started planetary arbitration proceedings against Panama, successful a lawsuit that could instrumentality years ‍to resolve.

The determination ⁠and determination to question arbitration formed further uncertainty connected the aboriginal ownership of the 2 ports and the company's planned $23 cardinal woody ⁠to merchantability its larboard businesses.

(Reporting by Elida Moreno successful Panama City and Raul Cortes ‌in Mexico City, Writing by Stefanie Eschenbacher, Editing by ‌Daina Beth Solomon and Matthew Lewis)