Robert Besser
06 Feb 2025, 12:40 GMT+10
PANAMA CITY, Panama: Over the weekend, U.S. Secretary of State Marco Rubio warned Panama's President Jose Raul Mulino that the U.S. would take action if Panama did not quickly reduce China's influence over the Panama Canal.
After meeting with Rubio in Panama City, Mulino said he would review agreements with China and increase cooperation with the U.S. on migration. However, he made it clear that Panama's control over the canal was not up for debate.
Rubio delivered a message from President Donald Trump, saying that a Hong Kong-based company running two ports near the canal was a security threat and violated the U.S.-Panama treaty, according to a U.S. State Department spokesperson. Rubio warned that if changes were not made, the U.S. would take necessary action. However, he did not explain what steps Panama must take or what the U.S. might do in response.
Since returning to office, Trump has threatened to take control of the canal, which the U.S. built in the early 1900s and handed over to Panama in 1999. He accused China of running the canal and suggested the U.S. might take it back. While he did not rule out using military force, he said he did not think it would be needed.
Rubio, who has long been critical of China, warned that China could shut down the canal during a conflict with the U.S. Mulino described his meeting with Rubio as respectful and said he would review a 25-year contract with CK Hutchison Holdings. This Hong Kong-based company operates ports at both ends of the canal. The agreement was renewed in 2021, but an audit will determine its future.
U.S. officials argue that China's presence in Panama goes against a 1977 neutrality treaty between the two countries. However, Panama's government and some experts say the ports are separate from the canal's operations, which the Panama Canal Authority controls.
Mulino also said Panama would not renew an agreement with China under the Belt and Road Initiative, which had allowed China to increase investments in the country. He added that Panama might end the deal early. However, he does not believe the neutrality treaty is under threat or that military force will be used. He said a direct conversation with Trump would be significant.
Rubio later visited the Miraflores Locks, where ships pass between the Pacific Ocean and the canal. While there, he received a briefing from canal officials.
China has denied interfering with the canal and insists it respects Panama's control over the waterway. A Chinese Foreign Ministry spokesperson said last month that the canal remains a neutral international waterway.
Rubio is currently visiting Central America and the Caribbean, focusing on U.S. relations in the region. Part of his mission is to seek help in reducing migration toward the U.S. southern border.
Get a daily dose of Africa Leader news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Africa Leader.
More InformationBAMAKO, Mali: A tragic mine collapse in western Mali, West Africa, has claimed the lives of at least 43 people, mostly women, an industry...
WASHINGTON, D.C.: The U.S. military operates 11 aircraft carriers, and any serious damage that forces one out of service could put...
As we approach the third anniversary of the Russian invasion of Ukraine, a monumental shift is taking place that might just lead to...
TAIPEI, Taiwan: The U.S. State Department has revised its official website's fact sheet on Taiwan, removing a previous statement that...
GENEVA, Switzerland: The humanitarian crisis in eastern Congo is worsening, with around 350,000 displaced people left without shelter...
McALLEN, Texas: A county in Texas has approved an election that will let people living near SpaceX decide whether to create a new city...
WASHINGTON, D.C.: Retail sales in the U.S. fell by the most in nearly two years in January, likely due to cold weather, wildfires,...
NEW YORK, New York - U.S. stocks moved modestly higher on Wednesday with the Standard and Poor's racking up a new all-time closing...
FRANKFURT, Germany: Germany faces significant economic risks from potential U.S. trade tariffs, which could dampen growth for years...
MILAN, Italy: Stellantis announced this week that it will begin producing hybrid vehicle components at its Termoli plant in southern...
RALEIGH, North Carolina: Amazon workers in North Carolina voted against joining a union, giving a big win for the company, which has...
NEW YORK, New York - U.S. stocks crept into the black in late trading Tuesday after spending most of the day in negative territory....