China summons Maersk, MSC on ‘shipping operations’ amid Panama saga, Iran war shock

China’s Ministry of Transport has summoned two maritime giants – Maersk and Mediterranean Shipping Company (MSC) – for talks on “international shipping operations” amid legal disputes over the Panama Canal, a vital artery for global trade.

No further details were provided in the one-sentence statement, which was posted on the ministry’s website on Tuesday. But in China, government summons often serve as a warning and, if ignored, could lead to further action.

The move came as mounting geopolitical shocks – from Panama to the US-Israeli war with Iran – have severely affected shipping firms and port operators.

In late February, Panamanian authorities handed temporary control of two ports – previously run by CK Hutchison’s Panama Ports Company (PPC) – to Maersk’s APM Terminals and MSC’s Terminal Investment, respectively. The decision followed a court ruling that voided CK Hutchison’s long-term port concession, granted in the 1990s, as “unconstitutional”.

CK Hutchison, the Hong Kong-based conglomerate, has launched legal proceedings against the Panamanian government over the seizure of the two ports – Balboa and Cristobal – calling the takeovers “illegal”, according to a statement issued on Friday.

PPC has also filed for international arbitration against the government under International Chamber of Commerce rules, seeking at least US$2 billion in damages, the statement said.

Following the takeover, Beijing said it would resolutely safeguard the legitimate rights and interests of its enterprises.

South China Morning Post