Panama Container Terminal Taken Over; Hong Kong's CK Hutchison Initiates Arbitration Against Maersk

A statement said the arbitration proceedings are based on a long-term contract that stipulates the Panama Port Company has exclusive operating arrangements for the Panama container terminal. However, Maersk violated this contract and, in coordination with the Panamanian government's state action against the Panama Port Company, took over the container terminal, seeking to replace the Panama Port Company. The statement added that the arbitration proceedings initiated against Maersk will take place in London, and the claims against Maersk will proceed independently, without affecting the ongoing legal actions by the Panama Port Company against the Panamanian government. CK Hutchison, through its subsidiary, operated a container terminal in the Panama Canal for many years, but the operating contract was unilaterally canceled by the Panamanian government. The Panamanian government simultaneously allowed Danish shipping giant Maersk and Italian company Mediterranean Shipping Company (MSC) to temporarily operate the relevant container terminal. According to reports, China's Ministry of Transport also separately met with responsible persons from Maersk and MSC earlier last month. (Editor: Zhu Jian-ling) 1150408