Feb 5 (Reuters) – China is asking state firms to halt talks over new projects in Panama as part of Beijing’s broader retaliation after the Central American country nullified CK Hutchison Holdings contract to operate two ports along its strategic canal, Bloomberg News reported on Thursday, citing people familiar with the matter.

The decision could derail potential investments worth billions of dollars, the report said.

Reuters could not immediately verify the report.

(Reporting by Hyunsu Yim in Barcelona; Editing by Mrigank Dhaniwala)