cross-posted from: https://hexbear.net/post/7566913

cross-posted from: https://news.abolish.capital/post/25381

The move comes as Trump pushes to curb Chinese influence over strategic infrastructure in the Americas

Chinese authorities have asked state-owned companies to suspend talks on new projects in Panama, in response to the Central American nation’s cancellation of a contract with China’s CK Hutchison Holdings to operate two ports along its strategic canal, Bloomberg reported on 5 February.

According to sources familiar with the matter, Panama’s decision could jeopardize billions of dollars in potential Chinese investments.

Chinese authorities also asked shipping companies to consider rerouting goods through other ports if the extra cost is not prohibitive, and have stepped up inspections of Panamanian imports, such as bananas and coffee.

Chinese Foreign Ministry spokesman Lin Jian issued a statement saying that the Panamanian Supreme Court ruling “ignores the facts, violates credibility,” while harming the interests of Chinese companies.

Hong Kong-based CK Hutchison responded to the Supreme Court decision by initiating international arbitration proceedings against Panama.

CK Hutchison has operated Panama’s Cristobal and Balboa ports for decades. The ports lie at opposite ends of the Panama Canal – the strategic waterway that connects the Pacific and Caribbean Oceans, and through which roughly three percent of global seaborne trade passes.

The move comes amid US President Donald Trump’s campaign to counter Chinese influence over strategic infrastructure in the Americas.

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