Panama Seeks To Terminate Hutchison Port Contract Over Unconstitutionality

Panama’s Attorney General Luis Carlos Gomez has called for the termination of a concession granted to China’s Hutchison Port Holdings, stating that the contract is unconstitutional.

In a formal submission to the country’s Supreme Court, Gomez argued that the agreement improperly transferred the rights of the Panamanian state, affecting public welfare, competition, and economic interests.

He has asked the court to confirm its unconstitutionality as a step toward nullifying the agreement.

The legal challenge centers around Panama Ports Company (PPC), a subsidiary of CK Hutchison Holdings, owned by Hong Kong billionaire Li Ka-shing. The company has operated two key ports, Balboa on the Pacific side and Cristobal on the Atlantic side, since 1997.

The controversy intensified after the Panamanian government granted an automatic 25-year contract extension in 2021 without a…

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