Latest news with #CKHutchinson
Yahoo
15-05-2025
- Business
- Yahoo
China warns Panama ports deal firms to 'proceed with caution'
China urged parties involved in Hong Kong conglomerate CK Hutchison's sale of Panama Canal ports to exercise "caution" Thursday, warning of legal consequences should they proceed without clearance from Beijing. The Hong Kong firm's attempt to sell most of its port operations to a US-led consortium was first announced in March after weeks of pressure from Donald Trump. The US president has refused to rule out military intervention to "take back" the crucial waterway -- which was handed over to Panama in 1999 -- from alleged Chinese control. Beijing has criticised the sale of the assets to a group led by giant asset manager BlackRock, opening an investigation into the deal to ensure it is handled lawfully. CK Hutchinson underlined on Monday that "the transaction would never be carried out in any illegal or non-compliant manner". Asked about the firm's statement on Thursday, a spokeswoman for China's commerce ministry said that "all parties to the transaction must not attempt to circumvent the review process in any way". No deal may be implemented without prior approval, He Yongqian said at a regular press conference, warning of "legal liability" in the event of proceeding without authorisation. "It is hoped that the companies involved will maintain a clear understanding of this and proceed with caution," said He. The business empire built by Hong Kong billionaire Li Ka-shing is registered in the Cayman Islands and the assets being sold are all outside China. Beijing's next moves in scrutinising CK Hutchison may also have far-reaching implications on Hong Kong and its role as China's business gateway to the world, analysts told AFP. pfc/reb/fox
France 24
15-05-2025
- Business
- France 24
China warns Panama ports deal firms to 'proceed with caution'
The Hong Kong firm's attempt to sell most of its port operations to a US-led consortium was first announced in March after weeks of pressure from Donald Trump. The US president has refused to rule out military intervention to "take back" the crucial waterway -- which was handed over to Panama in 1999 -- from alleged Chinese control. Beijing has criticised the sale of the assets to a group led by giant asset manager BlackRock, opening an investigation into the deal to ensure it is handled lawfully. CK Hutchinson underlined on Monday that "the transaction would never be carried out in any illegal or non-compliant manner". Asked about the firm's statement on Thursday, a spokeswoman for China's commerce ministry said that "all parties to the transaction must not attempt to circumvent the review process in any way". No deal may be implemented without prior approval, He Yongqian said at a regular press conference, warning of "legal liability" in the event of proceeding without authorisation. "It is hoped that the companies involved will maintain a clear understanding of this and proceed with caution," said He. The business empire built by Hong Kong billionaire Li Ka-shing is registered in the Cayman Islands and the assets being sold are all outside China. Beijing's next moves in scrutinising CK Hutchison may also have far-reaching implications on Hong Kong and its role as China's business gateway to the world, analysts told AFP.
Malay Mail
23-04-2025
- Business
- Malay Mail
Sources: Singapore's PSA weighs 20pc stake sale in CK Hutchison ports amid controversial BlackRock deal
CK Hutchinson's ports business includes ports along the Panama Canal CK Hutchinson's plan to sell to BlackRock consortium pleases Trump, irks China PSA bought its stake in the business for US$4.4 billion (RM14.7 billion) in 2006 SINGAPORE, April 23 — Singapore's PSA International is exploring the sale of its 20 per cent stake in CK Hutchison's ports business, two people with knowledge of the matter said, joining the Hong Kong conglomerate in its controversial plans to sell. Tycoon Li Ka-shing's CK Hutchison announced last month it would sell its 80 per cent holding in the business which includes two ports along the strategically important Panama Canal to a BlackRock-led consortium. The holding has an equity value of US$14.2 billion. US President Donald Trump hailed the deal as a 'reclaiming' of the canal. Chinese state media, however, have criticised it as a betrayal of China's interests and the country's market regulator has launched an antitrust review. Whether PSA, a ports operator wholly owned by Singapore state investor Temasek, ultimately decides to sell will depend on whether CK Hutchison goes ahead with the transaction, the two people said. CK Hutchison and the BlackRock-led consortium have agreed to exclusive talks for 145 days. The people, who were not willing to be identified due to the sensitivity of the issue, declined to comment on a potential sale price for PSA's stake. PSA declined to comment. CK Hutchison did not immediately respond to a request for comment. The deal between CK Hutchison and the BlackRock consortium encompasses 43 ports in 23 countries. The business has an enterprise value, which includes debt, of US$22.8 billion. Overall, the Hong Kong conglomerate has interests in 53 ports. Ports in Hong Kong and mainland China were not included in the deal. PSA bought its 20 per cent stake for US$4.4 billion in 2006 and has looked at selling previously. Reuters reported in late 2022 that PSA weighed a potential sale. But the two sources said it put the process on hold months later after global shipping activity weakened. Outside of its stake in CK Hutchison, PSA has 70 terminals in 45 countries, including its two flagship ports in Singapore and Belgium, according to its website. — Reuters
CNN
28-03-2025
- Business
- CNN
Panama Canal ports sale has been put on hold by Chinese regulators
Chinese antitrust regulators are investigating a US consortium's deal for two ports in the Panama Canal zone, reportedly delaying the deal's closing that was originally set for next week. President Donald Trump has incorrectly claimed China controls the canal (Panama controls it, although China owns ports on both sides of the crucial maritime passage). Trump has threatened to have the United States once again take control of the canal between the Atlantic and Pacific oceans. The deal, led by BlackRock, the world's largest asset manager with an enormous pool of $11.6 trillion in assets, was announced earlier this month and was widely viewed as a way to ease tensions in the region. BlackRock agreed to lead a group that would buy Hong Kong firm CK Hutchison's controlling interest in 43 other ports around the world, comprising 199 berths in 23 countries. But China's State Administration for Market Regulation, the top market regulator, said in answer to a question posed by the state-owned newspaper Ta Kung Pao that it had started an investigation into the deal 'in accordance with the law to protect fair competition in the market and safeguard the public interest.' The same statement was reposted on Friday on the website of China's Hong Kong and Macao Affairs Office. Following that announcement CK Hutchinson decided that 'there will not be an official signing of the two Panama ports deal next week,' according to a report in the South China Morning Post, citing a source close to the Hong Kong firm. BlackRock did not immediately respond to a request for comment, nor did CK Hutchinson. The 51-mile canal is a crucial passage for both cargo ships and military ships to travel been the Atlantic and Pacific oceans. About 4% of the world's maritime trade and more than 40% of US container traffic traverses canal. But tensions between China and the United States have been growing recently. The Trump administration has announced new tariffs of 20% on all goods imported from China, and China has retaliated with pressure of its own. The Trump administration is set to announce additional tariffs on trading partners next week. The Panama Canal was constructed by the United States in the early 20th century and was completed in 1914. For most of that century it was operated by the US, before the Carter administration negotiated its handover to Panama in a controversial treaty opposed by many Republicans at the time. It is a key part of Panama's economy. In 2024, the canal earned nearly $5 billion in total profits. According to a study released in December by IDB Invest, 23.6% of Panama's annual income is generated from the canal and companies that provide services related to the canal's operations. Since its handover in 1999 the canal itself has been operated by Panama, not China, despite Trump's stated concerns. Mike Waltz, Trump's national security adviser, told reporters late last month that the leadership of Panama had entered into 'negotiations about addressing the ports on either side of the canal.' But removing Chinese influence is only one of Trump's demands on Panama, including that Panama stop charging fees to American vessels. During his first trip abroad as secretary of state, which began with a stop in Panama, Marco Rubio said he agreed that US vessels should be allowed to traverse the canal at no charge. Rubio said that the US would be obligated to protect the Panama Canal if it came under attack, adding that he found it 'absurd that we would have to pay fees to transit a zone that we are obligated to protect in a time of conflict.' — CNN's Patrick Oppman, Phil Mattingly and Andrew Sager contributed to this report.
CNN
28-03-2025
- Business
- CNN
Panama Canal ports sale has been put on hold by Chinese regulators
Chinese antitrust regulators are investigating a US consortium's deal for two ports in the Panama Canal zone, reportedly delaying the deal's closing that was originally set for next week. President Donald Trump has incorrectly claimed China controls the canal (Panama controls it, although China owns ports on both sides of the crucial maritime passage). Trump has threatened to have the United States once again take control of the canal between the Atlantic and Pacific oceans. The deal, led by BlackRock, the world's largest asset manager with an enormous pool of $11.6 trillion in assets, was announced earlier this month and was widely viewed as a way to ease tensions in the region. BlackRock agreed to lead a group that would buy Hong Kong firm CK Hutchison's controlling interest in 43 other ports around the world, comprising 199 berths in 23 countries. But China's State Administration for Market Regulation, the top market regulator, said in answer to a question posed by the state-owned newspaper Ta Kung Pao that it had started an investigation into the deal 'in accordance with the law to protect fair competition in the market and safeguard the public interest.' The same statement was reposted on Friday on the website of China's Hong Kong and Macao Affairs Office. Following that announcement CK Hutchinson decided that 'there will not be an official signing of the two Panama ports deal next week,' according to a report in the South China Morning Post, citing a source close to the Hong Kong firm. BlackRock did not immediately respond to a request for comment, nor did CK Hutchinson. The 51-mile canal is a crucial passage for both cargo ships and military ships to travel been the Atlantic and Pacific oceans. About 4% of the world's maritime trade and more than 40% of US container traffic traverses canal. But tensions between China and the United States have been growing recently. The Trump administration has announced new tariffs of 20% on all goods imported from China, and China has retaliated with pressure of its own. The Trump administration is set to announce additional tariffs on trading partners next week. The Panama Canal was constructed by the United States in the early 20th century and was completed in 1914. For most of that century it was operated by the US, before the Carter administration negotiated its handover to Panama in a controversial treaty opposed by many Republicans at the time. It is a key part of Panama's economy. In 2024, the canal earned nearly $5 billion in total profits. According to a study released in December by IDB Invest, 23.6% of Panama's annual income is generated from the canal and companies that provide services related to the canal's operations. Since its handover in 1999 the canal itself has been operated by Panama, not China, despite Trump's stated concerns. Mike Waltz, Trump's national security adviser, told reporters late last month that the leadership of Panama had entered into 'negotiations about addressing the ports on either side of the canal.' But removing Chinese influence is only one of Trump's demands on Panama, including that Panama stop charging fees to American vessels. During his first trip abroad as secretary of state, which began with a stop in Panama, Marco Rubio said he agreed that US vessels should be allowed to traverse the canal at no charge. Rubio said that the US would be obligated to protect the Panama Canal if it came under attack, adding that he found it 'absurd that we would have to pay fees to transit a zone that we are obligated to protect in a time of conflict.' — CNN's Patrick Oppman, Phil Mattingly and Andrew Sager contributed to this report.
