US firms eye up Panama ports, copper tariffs may come earlier than expected

Hong Kong-based conglomerate CK Hutchison is expected to sign off on selling two ports in Panama to a consortium of US firms led by Blackrock by 2 April, Bloomberg reports, citing unnamed sources familiar with the transaction. Talks over selling the remaining 41 ports are reportedly ongoing, despite claims by China-aligned media that the sale violates Hong Kong laws that safeguard its national interests and sovereignty.

CK Hutchison agreed to sell a majority stake in its USD 22.8 bn ports arm to the consortium for USD 19 bn earlier this month, which will see the sale of 43 ports — including 199 berths — across 23 nations around the world. Blackrock investors are also set to acquire 90% of the Panama Ports Company, which operates 53 ports, including two at the two banks of the Panama Canal.

US-China drama: US Secretary of State Marco Rubio demanded Panama curb China’s influence over the high-profile waterway or “face immediate consequences” in a sit-down with Panamanian President José Raúl Mulino. US President Donald Trump called for a takeover of the canal, labelling the canal fees “a complete rip-off.”

US Copper tariffs may come earlier than expected: The US’ 25% tariffs on copper imports could be coming within the next few weeks, Bloomberg reports, citing sources familiar with the matter. The new date would be earlier than the timeline expected from the ongoing investigation into the matter, which usually takes 270 days to conclude, leaving analysts at Goldman Sachs and Citigroup previously anticipating the tariffs by the end of this year.

REFRESHER- US President Donald Trump launched a probe last month that could result in a fresh round of tariffs on copper imports in a bid to curb alleged moves by China to dominate the global copper market. The investigation aims to look into imports of all things copper, including raw mined copper, copper concentrates, copper alloy, scrap copper, and unspecified copper derivative products. Copper prices are anticipated to rise to USD 12-13k per ton, with US copper prices recently trading at about 1.5k per ton above other markets.

Energy trading majors are likely to resume business with Russia if sanctions are fully lifted, heads of several top energy traders told Bloomberg. “We don’t do anything today because we think even though there are some grey zones, we just don’t do it. But if these are removed, why wouldn’t we?” Gunvor Group CEO Torbjorn Tornqvist told the newswire. Other big names in the commodity market — including Mercuira Energy Group, Trafigura Group, and Vitol Group — expressed varying levels of openness to returning to Russia, but all acknowledged it is unlikely to happen in the near future.

REMEMBER- Russia and Ukraine have just agreed to a ceasefire in the Black Sea, following days of US-backed talks in Riyadh. Ukraine said it would begin observing the maritime truce immediately, while Russia hinged its participation on lifting alleged sanctions on agricultural and fertilizers exports, as well as reconnecting key banks to the global banking system SWIFT.