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China threatens to block Panama ports deal unless its shipping giant gets stake, WSJ reports

PANAMA, JUL 18 – The U.S. and Panama conducted joint military drills involving over 80 personnel to enhance regional security and defend critical Panama Canal infrastructure amid rising tensions with China.

  • Chinese officials have set an ultimatum regarding the sale agreement for CK Hutchison's global port operations, as reported by The Wall Street Journal.
  • China has threatened to block the deal unless its state-owned shipping firm Cosco receives a stake.
  • Beijing will act against Hutchison's proposed sale if Cosco is excluded from the agreement.
  • The exclusivity period for U.S. buyers concludes on July 27, with Chinese officials pressuring for Cosco's inclusion to avoid regulatory retaliation.
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Atlantic Council broke the news in Washington, United States on Wednesday, July 16, 2025.
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