U.S. Secretary of State Marco Rubio emphasized the urgent need for Panama to address China’s growing influence over the Panama Canal during a meeting in Panama City on Sunday. Rubio warned that without immediate action, the United States would intervene.
This marks Rubio’s inaugural overseas trip in his role as Secretary of State, with planned visits to El Salvador, Costa Rica, Guatemala, and the Dominican Republic throughout the week.
In his discussions with Panamanian President José Raúl Mulino and Foreign Minister Javier Martínez-Acha, Rubio relayed President Trump’s preliminary assessment that the influence of the Chinese Communist Party in the Panama Canal poses a significant threat. He referenced a treaty signed in 1977 that ensures the canal remains neutral and accessible to all nations, asserting that China’s activities violate this agreement.
“Secretary Rubio made clear that this status quo is unacceptable and that absent immediate changes, it would require the United States to take measures necessary to protect its rights under the Treaty,” a State Department spokesperson stated.
President Mulino characterized the dialogue as “respectful” and “positive,” expressing confidence in the treaty’s validity, according to reports.
The Panama Canal is essential for global trade, with the U.S. being the largest user alongside other nations such as Chile, China, Japan, and South Korea. A Hong Kong-based company has managed the canal’s ports since 1997, though there is no evidence of direct Chinese government control over the waterway. Nevertheless, Chinese companies have made significant investments in infrastructure around the canal in recent years.
Rubio highlighted potential risks, noting that in the event of a conflict, Chinese entities could leverage the canal as a strategic choke point.
Recently, Trump has reiterated his stance on the canal, claiming that Panama has ceded control to China. In his inauguration speech, he stated, “We didn’t give it to China. We gave it to Panama, and we’re taking it back.”
After U.S. control of the canal spanned from 1903 to 1977, treaties under President Jimmy Carter initiated its transfer to Panama, culminating in full control by 1999.
The implications for Panama in the event of noncompliance with Rubio’s requests remain uncertain. Experts highlight the challenges Rubio faces, given that China is a key trading partner throughout Latin America.
Before Rubio’s visit, President Mulino had already dismissed any discussions regarding the canal’s control, indicating that the focus should be on trade and migration policies.
