A drone photo shows vessels sailing on the Panama Canal near Panama City, Panama, Aug. 28, 2024. File Photo:Xinhua
Two central government's bodies in Hong Kong reposted two opinion pieces ran by a Hong Kong newspaper Ta Kung Pao criticizing CK Hutchison Holdings, a conglomerate based in the city, for its decision to sell ports in Panama and elsewhere to an investment group led by an American asset manager. The latest piece asked if such a "shrewd" deal took into account the interests of the country.
The two opinion pieces were published by Ta Kung Pao on Saturday and Thursday respectively. The opinion piece published on Saturday, which is titled "great entrepreneurs are all steadfast patriots," questioned CK Hutchison's selling of 43 ports, including assets it holds along the strategically important Panama Canal, to a group led by US firm BlackRock.
It asked "why are so many important ports so easily transferred to the US forces that harbor malicious intentions? What kind of political calculations are hidden behind the so-called commercial behavior on the surface? Has the so-called 'shrewd' deal taken into account the interests of the country and the nation? Is such a choice actually helping the evildoers and bringing harm to China and the world?"
The article also warned if one fails to see clearly the true nature of those US politicians who "not only want money but also want you to die," and chooses to dance with them, one might perhaps manage to make a fortune for a while. However, in the end, there will be no future, and what's more, one will incur the condemnation of history.
Ta Kung Pao also published an opinion piece on Thursday saying that this deal is a hegemonic act in which the US uses its national power to usurp the legitimate rights and interests of other countries through coercion, pressure and inducement. It is a form of power politics dressed up as a "commercial act."
The article urged relevant companies to think twice about the nature and crux of the issue, and also ponder about what stance to take and which side to stand on.
Both Hong Kong and Macao Affairs Office of the State Council, and Liaison Office of the Central People's Government in Hong Kong Special Administrative Region reposted on their websites the two opinion pieces published by Ta Kung Pao.
Shares in CK Hutchison, which is controlled by Hong Kong billionaire Li Ka-shing, fell 6.7 percent in Friday afternoon trading, on track for their biggest one-day percentage drop in about five years, according to the Wall Street Journal.
CK Hutchison said earlier this month that it agreed to sell most of the global $22.8 billion ports business, including assets it holds along the strategically important Panama Canal, to a group led by BlackRock. In total, the consortium will control 43 ports in 23 countries. US President Donald Trump, who has called for the waterway to be removed from what he says is Chinese ownership, has hailed the deal, according to Reuters.
On March 5, Reuters asked the deal between CK Hutchison and BlackRock, said this would give a US firm control of key docks in that area amid pressure from the White House and asked the Chinese Foreign Ministry's comment on it.
In response, Lin Jian, spokesperson from the ministry said: "we have no comment on the relevant commercial deal."
Lin noted that the government of the Hong Kong Special Administrative Region made a response to the operation of the ports by the relevant Hong Kong company. "Let me say more broadly that China supports Chinese companies, including those from Hong Kong SAR, in investing and doing business overseas. Hope they can have access to a fair and just business environment everywhere they go. We oppose any abuse of coercion and pressuring in international trade and economic relations," said Lin.
While CK Hutchison agreed to negotiate with the BlackRock consortium on an exclusive basis for 145 days according to a statement, the deal has not been finalized yet, reported the UK news agency.
CK Hutchison could not be reached for comments as of press time.
Topics related to this potential deal have been trending on China's social media over the weekend. "Five questions on whether Li Ka-shing has considered national interest," which refers to the latest Ta Kung Pao opinion piece has been viewed 71.91 million times as of press time.
"Li Ka-shing is a successful businessman, but he is not an entrepreneur worthy of admiration … An entrepreneur worthy of respect must always prioritize national strategies over corporate interests," a Sina Weibo user under the name of Yunhebianliang Liuxia posted on Saturday.
Lau Siu-kai, a consultant to the Chinese Association of Hong Kong and Macau Studies, told the Global Times that the proposed transaction could undermine China's Belt and Road Initiative and harm the country's maritime and shipbuilding industries. If the US gains control of multiple overseas ports, it may impose significantly higher taxes on Chinese vessels.
Trump is also planning an executive order to charge fees for China-linked vessels at US ports, in a bid to resuscitate American shipbuilding and disrupt China's supply chains, per Reuters.
Willy Fu, a law professor and the director of the Chinese Association of Hong Kong & Macao Studies, told the Global Times that the transaction has also raised concerns about national security. As critical infrastructure, ports handle operational data and logistics information that are closely linked to national security. The sale of such vital assets to a foreign company raises questions about potential data leaks and security risks, which warrant serious consideration.
This transaction also serves as a wake-up call. In today's globalized world, corporate business activities are no longer purely commercial but also involve national interests and geopolitical considerations. We need to strengthen the protection of critical infrastructure and strategic resources to guard against potential risks, said Fu.
