In a fresh escalation of the high-stakes conflict over control of strategically critical ports along the Panama Canal, a subsidiary of Hong Kong conglomerate CK Hutchison Holdings has initiated international arbitration proceedings against Danish logistics giant Maersk, accusing the shipping group of colluding with Panama’s government to seize control of its terminal operations.
Panama Ports Company, the CK Hutchison unit that held long-term concessions for the Balboa and Cristobal ports at the Atlantic and Pacific entrances of the canal, laid out the new legal claim in an official statement released Tuesday. The company alleges that Maersk deliberately undermined its existing operating contract to clear the way for a Maersk-affiliated entity to take over operations of the high-traffic Balboa terminal. The arbitration will be conducted in London, though the firm has not publicly disclosed what financial or legal remedies it is pursuing through the process.
This latest legal action builds on a series of disputes that stretch back to early 2025. Back in February, Panama’s national government seized full control of both the Balboa and Cristobal ports, shortly after the country’s Supreme Court ruled that CK Hutchison’s original operating concession was unconstitutional. That court ruling and subsequent seizure triggered immediate diplomatic pushback from the Chinese government. Shortly after the takeover, Panama’s administration handed operational control of the two ports to subsidiaries of Maersk and Mediterranean Shipping Company, the two largest container shipping firms in the world.
Panama Ports Company first launched arbitration proceedings against the Panamanian government itself in February. By late March, the firm expanded its damages claim, stating that total losses related to the seizure now exceed $2 billion. The company emphasized in Tuesday’s statement that the new claim against Maersk is entirely separate from its ongoing legal efforts to hold Panama liable for what it describes as “anti-contract and anti-investor conduct.”
As of Wednesday, neither Maersk’s corporate leadership nor Panama’s government has issued an immediate public response to the new arbitration filing.
The unfolding legal conflict has further complicated a major pre-existing deal that has drawn global geopolitical and business attention. CK Hutchison first announced plans in March 2025 to sell the majority of its 40+ global port assets—including the two Panama Canal ports—to a consortium led by U.S. investment firm BlackRock, in a deal valued at $23 billion. The proposed transaction was welcomed by former U.S. President Donald Trump, who had repeatedly made unsubstantiated claims of Chinese interference in the operations of the vital global shipping lane. However, the deal sparked pushback from Beijing, and China’s antitrust regulator launched a formal review of the transaction last year. Since then, the parties to the sale have explored multiple adjustments to keep the deal on track, including the possibility of adding a Chinese investor to the buying consortium to resolve regulatory concerns.