US, Latin America countries criticise China’s retaliation over Panama Canal

Key developments are emerging from the global stage. play Live Sign up Show navigation menu Navigation menu News Show more news sections Africa Asia US & Canada Latin America Europe Asia Pacific Middle East Explained Opinion Sport Video More Show more sections Features Economy Human Rights Climate Crisis Investigations Interactives In Pictures Science & Technology Podcasts Travel play Live Click here to search search Sign up Navigation menu caret-left Donald Trump What to know about the SAVE Act King Charles US visit: What to know Trump’s midterm strategy Could the US oil blockade snuff out the Cuban cigar? caret-right News | Shipping US, Latin America countries criticise China’s retaliation over Panama Canal China has detained nearly 70 Panamanian-flagged ships after a Supreme Court ruling on the Panama Canal, US officials say. x whatsapp-stroke copylink google Add on Google info Cargo ships wait to transit the Panama Canal in Panama City on April 26, 2026 By Erin Hale Published On 29 Apr 2026 29 Apr 2026 Bolivia, Costa Rica, Guyana, Paraguay, Trinidad and Tobago, and the United States have released a joint statement in support of Panama, while criticising Chinese economic retaliation, after a Hong Kong-based conglomerate lost a legal dispute over the management of ports on the Panama Canal.

Panama’s Supreme Court in late January annulled contracts that had allowed a subsidiary of Hong Kong’s CK Hutchison to administer the Balboa and Cristobal port terminals on the Panama Canal after deeming the decades-old agreements unconstitutional. In their joint statement on Tuesday, the six countries claimed that following the court ruling, China has retaliated against Panama with “targeted economic pressure” on Panamanian-flagged ships. China detained nearly 70 Panamanian-flagged ships in March, according to the US Federal Maritime Commission, a number “far exceeding historical norms”.

The Details

“These actions – following the decision of Panama’s independent Supreme Court regarding the Balboa and Cristobal terminals – are a blatant attempt to politicise maritime trade and infringe on the sovereignty of the nations of our hemisphere,” the signatories said. US Secretary of State Marco Rubio said separately on X that Washington was “deeply concerned” by China’s economic pressure on Panama. “We stand in solidarity with Panama.

Any attempts to undermine Panama’s sovereignty are a threat to us all,” he said. China has previously accused the US of “bullying” and trying to smear its reputation in Latin America, while it described the Panamanian Supreme Court ruling as “absurd” and “shameful”. US Federal Maritime Commission head Laura DiBella said last month that Beijing’s detention of Panamanian ships had repercussions for both Panama and the US.

The development has drawn wide international attention, with diplomatic circles watching closely.