China has warned Hong Kong-based CK Hutchison that it will block the company’s planned sale of more than 40 seaports—including the Balboa and Cristóbal terminals at the Panama Canal—unless state-owned Cosco Shipping receives an equity stake, according to a Wall Street Journal report cited by Reuters and other outlets. The assets, spread across 23 countries, carry an enterprise value of roughly $22.8 billion and are being negotiated in a deal worth about $23 billion. CK Hutchison is in exclusive talks through 27 July with a consortium led by BlackRock and Mediterranean Shipping Company. People familiar with the discussions said all parties are open to admitting Cosco, but contractual exclusivity prevents formal negotiations with the Chinese line before the deadline. Beijing has reportedly instructed Chinese state firms to freeze dealings with CK Hutchison until the issue is resolved, raising the prospect that regulatory approvals for the ports transfer could be withheld. The confrontation underscores the strategic importance of the Panama Canal and global terminal networks as the United States and China vie for influence over critical supply-chain infrastructure. President Donald Trump has described the prospective BlackRock-MSC purchase as a way to curb Chinese reach in the Western Hemisphere; Beijing’s stance signals it does not intend to relinquish its footprint without concessions. Whether the consortium accommodates Cosco—or seeks an alternative structure—will determine if the multibillion-dollar transaction can close on schedule.