China stops Hong Kong firm from selling Panama Canal ports to US-backed consortium including BlackRock

According to the New York Post, the Chinese State Administration for Market Regulation launched an investigation into CK Hutchinson on Friday, looking into the group over potential violations of anti-trust laws. The investigation has stalled the deal.

The deal came after President Donald Trump expressed concern that the port in Panama may fall under further influence of Bejing. The president has said that control of the canal should be given back to the US.

Chinese President Xi Jinping is reportedly "angry" over the deal struck by BlackRock and CK Hutchinson as the Hong Kong-based company did not consult with the Chinese government before finalizing terms.

President Trump celebrated the deal when it was struck between BlackRock and CK Hutchinson, but the Post reports that Chinese leadership had wanted to use the port as leverage in the country's dealings with the Trump administration.

The canal is used by both the US and China, but the United States invested a great deal or labor as well as capital in order to construct the waterway for shipping. Trump posted on Truth Social earlier this year, "The United States has a vested interest in the secure, efficient, and reliable operation of the Panama Canal, and that was always understood. We would and will NEVER let it fall into the wrong hands! It was not given for the benefit of others, but merely as a token of cooperation with us and Panama."

The debacle over the deal highlights concerns that Trump had with the canal falling into the “wrong hands,” as there are ongoing tensions with the US and China over trade.