Hong Kong’s well-known billionaire Li Ka-Shing’s company, CK Hutchison, is going to delay next week’s sale of its Panama ports operations to a BlackRock-led consortium. The delay came amid the heavy criticism the company has received as well as Beijing’s scrutiny of the $19 billion deal. The deal was originally expected to be signed on the 2nd of April 2025. According to a report from the South China Morning Post, the deal is postponed because of the complexities of the transaction. If you want to know more about the delay in the deal, this article is for you.
Panama Ports Deal Touted By Trump to Miss April 2 Deadline: About The Deal
Billionaire Li Ka-Shing’s Hong Kong conglomerate, on the 4th of March 2025, announced an agreement to sell the control of the Hutchison Port Holdings marine terminals to the BlackRock-led consortium as well as the TiL, the terminals arm of MSC, a shipping firm based in Geneva, for $23 billion. A deadline was set for the finalization of the transaction, which was the 2nd of April 2025. Trump backed the Panama Canal deal as he mentioned the US should take control of the canal back. The sale included terminal operations at the ports of Balboa and Cristobal in Panama.
Beijing Tells State-owned Companies To Hold Dealings With Li Ka-Shing
According to the official reports, the officials in Beijing told their state-owned companies to put a hold on all dealings with Li Ka-Shing. The billionaire’s conglomerate, CK Hutchison, partly owns Vodafone and Three networks in the UK. The Chinese authorities have repeatedly black-listed CK Hutchison and the business interests of the Li family. It told the state-backed firm they would struggle to get regulatory approval for any work involving the group. This major criticism and retaliation are considered one of the major reasons for the delay in the Panama Canal deal.
CK Hutchison Denies The Deal Being Politically Motivated
As mentioned above, the news of BlackRock taking over the Panama Canal ports came shortly after recently elected President Donald Trump complained that American ships are not treated fairly. Billionaire Li Ka-Shing’s conglomerate, CK Hutchison denied the allegations of the deal being politically motivated. But it still managed to spark major criticism from the Communist Party of China. It even sent a senior-level delegation to Panama and criticized the move in the state-controlled media.
Hong Kong Newspaper Slams The Sale
Ta Kung Pao, Hong Kong’s well-known newspaper, slammed CK Hutchison’s sale, calling it a spineless, kneeling, profit-seeking, and unrighteous act. The newspaper also stated that the conglomerate ignored national interests and national justice. It also added that the company has betrayed and sold out the Chinese people. The op-ed also suggested that there is a possibility that BlackRock may start charging extra docking fees from Chinese ships. It further accused the Trump administration of seeking to suppress China’s development.
What John Lee Said About The Sale?
Hong Kong’s currently serving chief executive, John Lee, also commented on CK Hutchison’s move criticizing it. He condemned the sale. John Lee called it an abusive use of coercion or bullying tactics in international, economic, and trade relations by America. He even called for extra scrutiny of CK Hutchison’s move.
