China has strongly criticized the US for attempting to destroy the Belt and Road Initiative (BRI) in Panama, following Panama’s withdrawal from the program. Beijing accuses Washington of using “pressure and coercion” to undermine China’s growing clout in the region, particularly on the Panama Canal, through “sensitive and sabotage” of the Belt and Road Initiative.
Panama Withdraws from the BRI among U.S. Concerns
Panama formally withdraws from the BRI after President Jose Raul Mulino meets with U.S. Representative. Earlier this month, Marco Rubio was Secretary of State., although Beijing has censured U.S., Mulino says Panama made the call independently of foreign influence. A centerpiece of President Xi Jinping’s plan to increase China’s worldwide reach through large infrastructure works is the Belt and Road Initiative China started in 2013.
Panama was the first Latin American country to become part of the BRI in 2017, only a few months after it changed diplomatic recognition from Taiwan to China. Pressure on Panama to limit Chinese power in the area—especially over the Panama Canal—has led Panama to pull out of the project.
China Reacts: “Cold War Mentality” from U.S.
Emphasizing the need of good bilateral ties and the long-term interests of the two nations, Beijing voiced great regret on Panama’s choice. Lin Jian, spokesperson for the foreign ministry of China, said, “We hope that Panama will make the right decision based on the overall situation of bilateral relations and the long-term interests of the two peoples, and eliminate external interference.”
Also condemned by the United States by the Chinese government in Latin America, for its “Cold War mentality,” Beijing is unfairly chastised for Washington’s policies meant to sow discord with Latin America. The spokesperson added that Mr. Rubio’s comments unfairly blame China, deliberately incite tension between China and pertinent Latin American countries, disrupt China’s internal affairs, and erode China’s official rights and interests.
Panama Canal is a Point of Beauty
A crucial waterway connecting the Pacific Ocean and the Caribbean Sea, the Panama Canal carries approximately 40% of United States freight. Contain traffic. This has turned the canal into the center of America. Worries about Chinese impact. Washington’s major concern is the increasing involvement of Chinese corporations in the canal’s infrastructure.
The Panama Canal Authority, independent of the United States, manages the Panama Canal. Chinese firms working at vital ports on either side of the canal have Washington particularly concerned with the Panamanian and U.S. administrations. Particularly, the Hong Kong based company CK Hutchison, managing two main ports on both ends of the canal, has been at the center of U.S. worries. Since 1997. CK Hutchison, a worldwide port operations leader, has been given the right to manage these ports.
Trump’s Continuous Warning about Control of the Canal
Trump said, “China is operating the Panama Canal. And we didn’t give it to China. We gave it to Panama, and we’re taking it back,” starting his inauguration address. He has even proposed using force to regain command of the canal, a remark that Panama’s government has criticized.
Notwithstanding Trump’s words, Panama has often said its sovereignty over the canal is still unaffected. Although he did admit to some compromises to the United States, President Mulino stressed, “Panama’s sovereignty over the canal is not up for debate.” force.
However, Panama’s President Jose Raul Mulino has asserted that Panama’s sovereignty over the canal was not up for debate, but the country has made other concessions to US pressure.
Beijing’s Support for the Sovereignty of Panama
China has reiterated its commitment to Panama’s sovereignty over the canal, contradicting what the United States has said. Chinese authorities have emphasized that their presence in the region is completely financial, and they are not in charge of the day-to-day operations of the canal.
The Panama Ports Company (PPC), having under CK Hutchison two major ports, states that the firm has no control over entrance to the Panama Canal, and that the Panamanian government is still a partnership in the port operations.
China has also remarked that more than 20 other Latin American nations along with Panama have benefited from the BRI. Helping the region to develop economically, the project has made critical infrastructure investments including roads, ports, and energy initiatives.
The Infrastructure of Panama Depends on China’s Assistance
Though there is no direct evidence linking China to the operation of the canal itself, there is cause for concern over China’s rising influence on the Panama Canal. Still, Chinese participation in Panama’s infrastructure developments has caught attention. Chinese firms including China Communications Construction Company and China Harbour Engineering formed a consortium given a $1.4 billion contract to construct a bridge spanning the Panama Canal. The intention of this initiative is to improve the already extensive infrastructure of Panama and help with traffic problems in Panama City.
Experts contend that China has a strong influence in the area given its part in important infrastructure initiatives even though it cannot physically run the canal. R Evan Ellis is a research professor of Latin American Studies at the US Army War College Strategic Studies Institute. According to him, China could use infrastructure surrounding the canal, particularly during conflicts, to raise its leverage, as per Army War College. Ellis added, “All of these activities, and the connections with Panama Canal Authority…plus the technical knowledge you acquire as a typical canal operator essentially magnifies the possibilities that, if you are (China) and you want to close down the canal at a time of conflict, there are a thousand ways to do it.”
U.S. Concerns Over China’s Around the world Influence
The debate over Chinese control in Panama fits into a more general American context. concern about China increasing global presence. Hong expands its political and financial influence by creating debt traps for poor nations through the BRI, critics contend. There is no proof to show the Panama Canal is under Chinese control, still U.S. officials still view with suspicion the growing global reach of Beijing.
Ultimately, Panama’s removal of the BRI has increased American tensions. And with China regarding the Panama Canal’s future. Although Beijing keeps on stressing its peaceful intentions and Panama’s autonomy, the geopolitical competition between the two world powers is long from concluding.