The Chinese Ministry of Transport recently summoned representatives from Mediterranean Shipping Co (MSC) and Maersk to discuss their business conduct in the international shipping sector.
According to industry sources, the move is linked to the ongoing dispute over the ports of Panama. At the end of February, Gianluigi Aponte’s group and the Danish carrier began temporarily managing the Balboa and Cristobal terminals.
The two ports were previously managed by Hong Kong-based CK Hutchison, which was forcibly removed by Panamanian authorities after the local Supreme Court revoked its concessions.
The Chinese government has described CK Hutchison’s removal as ‘illegal’ and warned that Panama will pay a ‘heavy price’. The summoning of MSC and Maersk is interpreted as a sign that China is preparing retaliatory measures against the two carriers for agreeing to replace the Hong Kong company.
In short, Beijing used the meeting to exert diplomatic pressure on the two shipping giants, guilty of collaborating with the Panamanian government in an operation that damaged Chinese economic interests in the region.
The Chinese Ministry of Transport’s move could in fact lead to significant risks for the two carriers, which are heavily dependent on the Asian market. Beijing has the power to intensify bureaucratic controls, customs inspections and operational restrictions on MSC and Maersk ships calling at ports in mainland China, on the grounds of verifying “corporate behaviour”.
The dispute jeopardizes MSC’s acquisition of CK Hutchison’s global port portfolio (a deal estimated to worth $23 billion), as China could block or complicate the transaction in retaliation.
According to Lloyd’s List, China has suggested that its state-owned companies consider redirecting cargo to ports not managed by the two European carriers in order to reduce dependence on the infrastructure involved in the dispute.
Translation by Giles Foster
