Chinas Influence in Panama Weakens as Court Cancels Hong Kong Companys Canal Contracts

Aerial view of the Bridge of the Americas at the Pacific entrance of the Panama Canal, located next to the port of Balboa in Panama City, Panama, on Jan. 30, 2026. Martin Bernetti/AFP via Getty ImagesThe Panama Supreme Court’s decision to invalidate Hong Kong-based CK Hutchison’s contract to operate the ports at both ends of the Panama Canal has weakened Beijing’s control over the key waterway, but the process may drag out as the Chinese regime fights to maintain its influence in the region, according to analysts.Panama’s Supreme Court ruled on Jan. 29 that the concession held by Panama Ports Company, a subsidiary of CK Hutchison Holdings, is unconstitutional.