A drone photo shows vessels sailing on the Panama Canal near Panama City, Panama, Aug. 28, 2024. File Photo:Xinhua

China's State Administration for Market Regulation (SAMR) said it will review CK Hutchison's Panama Canal ports deal in accordance with laws to ensure fair market competition and protect public interests, according to a Q&A release conducted by Hong Kong Ta Kung Wen Wei (HKTKWW) Media with the market regulator published on its official website. 

The question raised by Hong Kong Ta Kung Wen Wei said that it is reported that Hutchison Ports, a subsidiary of Hong Kong-based conglomerate CK Hutchison Holdings, is expected to sign a transaction agreement with BlackRock on April 2 regarding the sale and whether the proposed transaction would require regulatory approval in China. 

A spokesperson from the second antitrust enforcement division of the State Administration for Market Regulation said that "We have noted this deal and will conduct a review in accordance with the law to ensure fair market competition and protect public interests."

According to information on the official website of the SAMR, the second antitrust enforcement division of the SAMR is responsible for antitrust review of businesses' concentration of undertakings. 

It is also responsible for investigating and addressing illegal concentrations of undertakings, as well as those concentrations that, despite not meeting the notification thresholds, may eliminate or restrict competition.

The division also provides guidance to Chinese enterprises on antitrust compliance in overseas markets. 

The potential sale of Hutchison Ports' Panama assets is attracting attention due to the strategic significance of port infrastructure and the involvement of a major US investment firm, according to the HKTKWW report. 

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, according to Reuters.

When asked about CK Hutchison's sale of its overseas ports business, Chinese Foreign Ministry spokesperson Guo Jiakun said on Thursday that China firmly opposes moves that infringe on and undermine other countries' legitimate rights and interests through economic coercion, hegemonism and bullying.