Panama and China have reached a consensus and renewed their partnership, which grants advantages to Panamanian ships in Chinese ports. This treaty had not been renewed after the United States revoked the concessions for the two Panama Canal ports operated by Hong Kong-based Hutchison.
Panama announced on Monday, July 20, the conclusion of an agreement with China to renew a maritime transport treaty that grants advantages to Panamanian ships in Chinese ports.
This agreement was reached as Panama complains of stricter controls on its ships in China, following the final cancellation of the concession held by Hong Kong-based Hutchison, which operated two ports on the Panama Canal.
Following negotiations in Beijing last week, the two countries reached a consensus
and will move forward with the procedures for renewing
the treaty, the Panamanian Ministry of Foreign Affairs said in a statement.
The maritime treaty, which expires this year, provides for preferential tariffs and simplified administrative procedures for ships flying the Panamanian flag in Chinese ports.
500 ships inspected
Nearly 500 Panamanian ships were held for inspection in 2026, according to local media, but Panama’s acting foreign minister, Carlos Hoyos, said on Monday that those numbers had now returned to their historical level
.
China had tightened controls on Panamanian ships after a court ruling in Panama cancelled the contract of the Panama Ports Company (a subsidiary of the Hong Kong-based CK Hutchison Group), which operated two port terminals on the canal of that Central American country.
