US hails Panama high court ruling against CK Hutchison’s ports concession

Washington on Friday welcomed a Panamanian court ruling cancelling a contract held by a subsidiary of Hong Kong-based CK Hutchison Holdings to operate two ports along the Panama Canal, a decision seen as a boost to the United States’ efforts to counter Chinese influence in the western hemisphere.

The reaction came as Panama’s government sought to reassure workers and investors on the ground that trade and jobs would not be affected.

“The United States is encouraged by the recent Panamanian Supreme Court’s decision to rule port concessions to China unconstitutional,” US Secretary of State Marco Rubio said in a social media post.

Rubio, a former lawmaker and a key adviser to US President Donald Trump on western hemisphere policy, has repeatedly warned that if a company answerable to the Communist Party were to control ports at both ends of the Panama Canal, it could effectively shut down the waterway during a conflict.

During his Senate confirmation hearing in 2025, he described such a scenario as a “direct threat” to US interests, warning that Beijing could use the facilities as strategic “choke points”.