Press Releases
CK Hutchison Commences Investment Treaty Arbitration Against
the Republic of Panama for Destruction of Port Investments
the Republic of Panama for Destruction of Port Investments
(Hong Kong SAR, 20 August 2026) CK Hutchison Holdings Limited (“CK Hutchison”) announces that it has commenced international arbitration proceedings against the Republic of Panama (“Panama”) for breaches of an investment protection treaty through sovereign acts that targeted a decades-old ports concession and destroyed CK Hutchison’s investments in Panama.
CK Hutchison notified Panama of a treaty dispute on 4 February 2026, following a year-long State attack campaign on the company’s assets, and sought to resolve the dispute to no avail.
CK Hutchison notified Panama of a treaty dispute on 4 February 2026, following a year-long State attack campaign on the company’s assets, and sought to resolve the dispute to no avail.
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Beginning in early 2025, Panama suddenly launched a State attack campaign against CK Hutchison investments that included a sudden new investigation that lacked due process, a reversal of its longstanding legal position that had protected the ports concession for three decades as a matter of law, pursuing a governmental assault on the constitutionality of its own “contract-law” and concession, and the development of a scheme to replace CK Hutchison subsidiary Panama Ports Company, S.A. (“PPC”). Panama has consistently sought to cover up its conduct through disinformation.
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After notification of the treaty dispute in early 2026, rather than seeking resolution, Panama intensified its State campaign through executive actions and a radical takeover of the Balboa and Cristóbal port terminals controlled by PPC on 23 February 2026, taking over property, equipment, technology, employees, and proprietary and protected documents and materials, all at great damage that provoked CK Hutchison to send a supplemental treaty notice.
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Even after the takeover and supplemental treaty notice, Panama failed to take steps to resolve the treaty dispute and instead continued its campaign of attacks and disinformation.
- Panama ultimately held only one perfunctory consultation meeting more than six months after the treaty notice, and has made no offer of compensation or resolution.
CK Hutchison commenced arbitration proceedings against Panama on 20 August 2026 (19 August Panama) seeking damages of more than US$1.5 billion for breaches of treaty obligations and international law. Panama has demonstrated that it has become a risky country that disregards the rule of law, corporate form, the scope of parties to a contract, the scope of arbitration agreements, treaty rights and the resolution of treaty disputes.
CK Hutchison’s treaty rights are distinct from PPC’s contract rights being pursued in a separate contract arbitration, which then proceeded apace. Panama previously sought, and failed, to force CK Hutchison into the contract arbitration, in disregard of corporate form and the applicable contract, as is a matter of public record.
CK Hutchison is sharing these developments due to Panama’s dissemination of inaccurate information over time. CK Hutchison also continues to seek resolution and permanently reserves all rights.
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