U.S. Pressures Panama to Reduce Chinese Influence Over Canal

The Reuters news agency reports that U.S. Secretary of State Marco Rubio has warned Panama to reduce Chinese influence over the Panama Canal, threatening to take necessary measures if compliance is not met.

This comes amid President Donald Trump’s assertions that the U.S. may retake control of the canal. He cites treaty violations by China as the reason. Rubio emphasizes that the Chinese CK Hutchinson Holdings’ management of two ports at the canal’s entrances breaches the 1999 neutrality treaty.

Panamanian President José Raúl Mulino has signaled a willingness to review trade agreements with China but maintains that sovereignty over the canal is non-negotiable with the U.S.

Trump recently claimed again that China controls the canal and insists it was wrongly handed to Panama. He vows to reclaim U.S. power over the passage without resorting to military force.

During a visit to the canal, Rubio met with Mulino, who assured him that contracts with CK Hutchinson would be reviewed. Mulino also confirmed that Panama will not renew an agreement supporting China’s Belt and Road Initiative.

France began constructing the Panama Canal in 1880, but the U.S. completed it in 1914. It remained under U.S. administration until 1999.

That year, it was transferred to Panama following the Torrijos-Carter treaties. China’s involvement has sparked tensions, with Beijing denying any interference in the canal’s operations.

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