The ink on the documents was not dry yet, but the action was already underway.几乎在同一时刻，政府代表在没有获得任何邀请的情况下抵达两个货柜码头。 They informed Panamanian Ports Company representatives that the concession "no longer exists" and that the company must terminate operations immediately. What’s even more shocking is that the takeover officer instructed on the spot that all employees would be transferred out of the original company. Not only were employees no longer allowed to communicate with the company, but they were also required to fully comply with government instructions, otherwise they would face criminal prosecution. At this point, Changhe completely lost control of these two strategic locations.
The 18-month transition period starts, Maersk and MSC take over
While completing the administrative takeover, the Panamanian government quickly made a gesture of maintaining operations. Max Flores, director of the Panama Maritime Administration, emphasized at a press conference that the takeover was to "ensure continued uninterrupted operations."
The government immediately set up an 18-month transition period and quickly finalized two temporary "takeovers." According to Panamanian media and Agence France-Presse, APM Terminals, a subsidiary of the global shipping giant Maersk of Denmark, will be responsible for the Port of Balboa on the Pacific side; while Terminal Investments (TiL), a subsidiary of Swiss Mediterranean Shipping Company (MSC), will take over the Port of Cristobal on the Atlantic side. Panama’s official data shows that up to 38% of the containers transshipped through Panama last year were processed through these two ports, which reflects their strategic position. In order to appease people's hearts, Panama's Labor Minister Jacqueline Muñoz specifically assured that approximately 1,200 employees at the two ports will not be laid off due to the takeover.
CK Hutchison angrily denounces "illegality": All legal means will be used to pursue the case
Faced with such a tough administrative takeover, CK Hutchison did not choose to remain silent. In a statement, the company fiercely pointed out that the Panamanian government's previous rulings, the presidential decree and the forced takeover were "illegal" and believed that this was a "forced confiscation" of the company's assets in Panama.
CMHR bitterly stated that the Panamanian government has continued to take actions against Panama Ports Company and its concession contract over the past year. Before this takeover, the government not only did not conduct any prior consultation, nor even gave formal notification, posing a serious risk to the operation, health and safety of the port. CK Hutchison stressed that the Panamanian government must bear responsibility for all damage and losses caused by its actions. Currently, CK Hutchison is urgently seeking legal advice and studying all possible ways, vowing to pursue the case to the end through all legal means, including resorting to domestic and international courts.
China makes a solemn statement: Firmly safeguarding the legitimate rights and interests of enterprises
This commercial dispute, which occurred at an important node of the "One Belt, One Road" initiative, has also attracted great attention from China's top leaders. In response to the Panamanian government's insistence on revoking Changhe's operating rights and forcibly taking over the port, the Chinese government once again expressed its solemn position.
As early as early February, the Hong Kong and Macao Affairs Office of the State Council published a signed article criticizing the ruling of the Supreme Court of Panama as "ignoring facts and breaching trust" and seriously damaging the legitimate rights and interests of Hong Kong companies. After the takeover, Foreign Ministry spokesperson Lin Jian reiterated in response to reporters' questions that China has stated its position many times and will firmly safeguard the legitimate rights and interests of Chinese companies. This statement was interpreted by the outside world as a strong endorsement of the subsequent international legal actions that CK Hutchison may take.
