Hong Kong-based CK Hutchison has reportedly made a formal approach to the Panamanian government to open negotiations regarding the operation of the Balboa and Cristóbal terminals, located at both ends of the Panama Canal. According to statements cited in the report, the company said it is prepared to renegotiate every aspect of its concession in an effort to reach a workable solution with the government.
The request comes after Panama’s Supreme Court ruled that the legal framework supporting the concession was unconstitutional. Since that decision, Hutchison has alternated between defending its role in the terminals and signaling possible legal action, while officials in Hong Kong and China have criticized Panama’s move as politically motivated.
A spokesperson for Panama Ports Company (PPC) said the company is seeking direct dialogue with the Executive Branch to avoid operational disruption and find a reasonable path forward. The concession, originally granted in 1997 and renewed for another 25 years in 2021 through a no-bid process, has become the center of growing legal and political scrutiny. Hutchison has also emphasized that PPC, in which it holds a 90% stake while the Panamanian government holds 10%, has invested substantial resources in the terminals over the years.
The company has previously said it is evaluating all available legal remedies, including the possibility of international arbitration. It also warned that any attempt by another operator to step into the terminals could trigger legal consequences. Panama, meanwhile, has stated that terminal operations would continue normally during the transition and has indicated that a new tender process will eventually be launched, with separate management expected for each terminal.
The Balboa and Cristóbal terminals are considered strategically important to Panama’s maritime and logistics system. According to the report, they handled 38% of the nearly 10 million containers moved in Panama in 2025, underscoring their central role in the country’s transshipment activity and the broader Panama Canal logistics corridor.
