China on Friday accused the US of harbouring intentions to seize the Panama Canal, from which a Hong Kong-based operator was recently ousted.
Beijing's position on the Panama port issue "is clear," Foreign Ministry spokesperson Lin Jian told reporters in the capital.
"The US side's repeated hype up (of) this issue only exposes its own intention to seize the canal," Lin said, according to Beijing-based daily Global Times.
His remarks came in response to a question about US claims on Thursday that China has been detaining Panama-flagged ships, which Washington described as Beijing's "punishment" of Panama.
Panama's Supreme Court ruled last January that licence terms granted to the Hong Kong-based company CK Hutchison to operate two strategic ports at either end of the canal violate the country's constitution.
‘Commercial, strategic consequences’
The decision came roughly a year after US President Donald Trump publicly raised concerns over Chinese-linked infrastructure near the waterway, describing it as a potential security threat.
CK Hutchison's Panama Ports Company has since filed a lawsuit against Panama at the International Chamber of Commerce Court, seeking damages of over $2 billion.
The firm has said Panama failed to file an initial response to the arbitration, according to Seatrade Maritime News.
"Given that Panama‑flagged ships carry a meaningful share of US containerised trade, these actions could result in significant commercial and strategic consequences to US shipping," the US maritime commission said.
According to the statement, the commission has the authority to investigate "whether regulations or practices of foreign governments result in conditions unfavourable to shipping in the foreign trade of the United States."
Presidents Trump and Xi Jinping are scheduled to meet on May 14 and 15 in Beijing for a summit largely focused on trade.
In February, Panama Ports Company filed a lawsuit at the International Chamber of Commerce (ICC) in Paris seeking at least $2 billion in damages.
