What Happened
President José Raúl Mulino said this week that tensions with China over detentions of Panamanian-flagged vessels have begun to ease, but the numbers through the first days of May still point to a heavy concentration of cases in Chinese ports.
Speaking at the opening of the Americas Maritime Convention, Mulino said Panama had “recently faced detentions of ships in Chinese ports” and that the pressure “has begun to diminish.” He framed the issue as part of the wider challenges facing global shipping and argued that disputes should be resolved through dialogue rather than confrontation.
What the Numbers Show
From January 1 through May 7, 2026, 369 detentions of Panamanian-flagged vessels were recorded in the Asia Pacific Computerized Information System used by Tokyo MOU. Of those, 291 took place in Chinese ports, equal to 78.9% of the total.
The pattern strengthened over recent months. China accounted for 56.1% of detentions in January and 45.5% in February. That share climbed to 83% in March and reached 89.4% in April. In May, 20 of 21 detentions reported during the first seven days occurred in China, or 95.2%.
Why China Matters
The concentration of detentions in Chinese ports has been closely watched in Panama because it comes after a Supreme Court ruling on January 29 declared unconstitutional the concession law that had allowed Panama Ports Company to operate the Balboa and Cristóbal container terminals.
Panama Ports Company is a subsidiary of Hong Kong-based CK Hutchison Holdings. The timing of the detentions has led observers to view the inspections as part of a broader response to Panama’s legal move against the port contracts.
Mulino said Panama “does not accept arbitrariness” and stressed that every vessel flying the national flag represents the country. His remarks were delivered against the backdrop of a maritime sector that remains central to Panama’s economy and international profile.
What This Means for Panama
The figures suggest that it is still too early to declare a sustained reduction in the pressure on Panamanian-flagged ships in China. Even with only seven days counted in May, the rate of detentions in Chinese ports remains extremely high.
China’s inspections have focused on major ports including Shanghai, Shenzhen, Ningbo, Guangzhou, Tianjin and Zhoushan. Authorities there have said the detentions are based on technical grounds, especially safety-related deficiencies. For Panama, the issue has become both a commercial concern and a test of its ability to defend its maritime registry on the global stage.
Mulino’s comments signal confidence that the dispute may be softening, but the data so far show a shipping problem that remains far from resolved.
Background
Panama maintains one of the world’s largest ship registries, making the performance and treatment of Panamanian-flagged vessels a matter of national interest. Any concentration of detentions in a single country can affect the reputation of the registry and raise concerns among shipowners, operators and regulators.
The current dispute also lands at a sensitive moment for Panama’s port sector, where the legal battle over the Balboa and Cristóbal concessions has sharpened attention on the country’s role in international maritime trade.