CK Hutchison says Panama Canal port workers removed after court-ordered takeover

Hong Kong conglomerate CK Hutchison said on Tuesday that Panama authorities had threatened its employees with criminal prosecution if they defied orders to leave two strategic canal ports at the centre of a legal battle that has embroiled Beijing and Washington.



CK Hutchison said Panama's decision to cancel key port contracts and grant temporary licences to Maersk and the Mediterranean Shipping (MSC) was "unlawful" as it considers national and international legal action against the country.



Panama on Monday published in its official gazette a Supreme Court ruling cancelling key port contracts held by a subsidiary of CK Hutchison, known as Panama Ports Company (PPC).



The publication finalises the legal annulment of concessions for the Balboa and Cristobal terminals near the Panama Canal, which Panama Ports Company, a subsidiary of Hong Kong-based CK Hutchison, had operated for nearly three decades.



The ruling, issued in late January, came amid growing US-China rivalry over global trade routes and marks a win for Washington.



US President Donald Trump has pushed to curb Chinese influence over the Panama Canal, which carries about 5 per cent of global maritime trade.