HONG KONG: Hong Kong leader John Lee on Tuesday (Mar 18) said criticism of city conglomerate CK Hutchison’s sale of its Panama Canal ports deserved “serious attention”, after Beijing authorities repeatedly slammed the deal.
The business empire of Hong Kong’s richest man, Li Ka-shing, sold most of its port operations – including those in the canal – to a United States-led consortium this month following pressure from US President Donald Trump.
But Beijing has upped pressure on the firm since, with two Chinese government offices managing Hong Kong affairs republishing newspaper articles last week blasting the transaction and questioning whether CK Hutchison sided with the US over China.
“There have been extensive discussions in society about the issue and this reflects society’s concern over the matter,” Lee, the chief executive of the largely autonomous Chinese city, told reporters.
“These concerns deserve serious attention.”
Bloomberg News reported on Tuesday, citing unnamed sources, that senior Chinese leaders have ordered several government agencies – including the State Administration for Market Regulation – to scrutinise the deal.
This examination by Beijing does not necessarily result in follow-up action, the sources told Bloomberg, asking not to be identified to discuss private deliberations.
Asked to confirm that report, Beijing directed AFP to the “relevant authorities”.
But spokeswoman Mao Ning said that “China has always firmly opposed the use of economic coercion, bullying and infringement to undermine the legitimate rights and interest of other countries”.
Shares of CK Hutchison in Hong Kong fell nearly 4 per cent on Tuesday morning.
For months, Trump has complained that China controls shipping in the Panama Canal, which was built by the US more than a century ago to link the Pacific and Atlantic oceans.
The US president repeatedly threatened to “take back” the canal, which was handed over to Panama in 1999.
