https://www.bbc.com/news/articles/c2k8z9v3334o

Hong Kong has formally complained to the government of Panama after it took control of two ports on the Panama Canal. It accused the Panamanian authorities of taking them over by force.

The ports had been run by a Hong Kong-based company, CK Hutchison, for more than two decades.

Last month, Panama’s Supreme Court annulled the contracts which allowed the firm to operate the container ports, saying they were “unconstitutional”.

The ruling followed claims by US President Donald Trump that China was operating the canal. There is no public evidence to suggest this.

Hong Kong’s government said, in a statement, it was lodging a “strong protest” after Panama’s “blatant act” undermined both the “spirit of the contracts” and “international trade rules”.

Last year, the Hong Kong-based company agreed to sell most of its stake in the two ports to a group led by the US investment firm BlackRock. The move by the Panamanian government could disrupt the $22.8bn (£20.75bn) sale, according to the Reuters news agency.

CK Hutchison, founded by Hong Kong billionaire Li Ka-shing, described the move as “unlawful”.

President Trump has repeatedly claimed that the Central American canal is under Chinese control.

During his inauguration address last January, he said: “China is operating the Panama Canal and we didn’t give it to China. We gave it to Panama and we’re taking it back.”

The following month, US Secretary of State Marco Rubio also demanded that Panama make “immediate changes” to what he called the “influence and control” of China over the canal.

There is no public evidence to suggest China exercises control over the canal, though Chinese companies have a significant presence there.

Up to 14,000 ships use the 51-mile (82km) Panama Canal each year as a shortcut between the Atlantic and Pacific.

The waterway, which handles about 5% of global maritime trade volume, is operated by the Panama Canal Authority, an agency of the Panamanian government.

From October 2023 to September 2024, China accounted for 21.4% of the cargo volume transiting the canal, making it the second-largest user after the US.