China’s foreign ministry said on February 5 that it had lodged a complaint against the United States. The complaint concerns the US’s “irresponsible” remarks on the Panama Canal and “attacks” on China’s cooperation with Panama over the canal.
Ministry spokesman Lin Jian said at a press conference that China-Panama cooperation under the Belt and Road Initiative is currently progressing normally, despite Panama’s president’s announcement a few days earlier that China may be prematurely terminated from participating in the Belt and Road Initiative and that the agreement will not be renewed.
Lin said he hopes the relevant parties will not change their minds and will not be influenced by external forces, “making the right decision based on the long-term interests of the two countries’ comprehensive relations and the people of both countries.”
It is noteworthy that within hours of the announcement, information about the agreement between the US Department of Defense and Panama spread. US Defense Secretary Pete Hegseth and Panamanian President Jose Raul Mulino agreed to expand cooperation between the US military and Panamanian security forces.
“They agreed on a close relationship and shared security interests, which includes protecting the Panama Canal,” a Pentagon spokesman stated.
The Panama Canal issue became more active after US Secretary of State Marco Rubio warned Panamanian President Mulino on February 2nd that Washington “will definitely take appropriate measures” if Panama does not immediately take steps to end Chinese control and influence over the Panama Canal.
Rubio shared Trump’s message that the operation of the Hong Kong-based company at the ports at both ends of the canal is a matter of US national security and violates the treaty between the US and Panama. Interestingly, he did not rule out the use of force. Trump said that he does not believe that the use of troops will be necessary, but he will do everything to return the Panama Canal to the USA.
During the meeting with Rubio, the Panamanian president expressed his readiness to review the operations of Chinese businesses in Panama, including those that have been operating in the market for more than 25 years.
The day after Rubio’s call, two Panamanian lawyers filed a lawsuit in the country’s Supreme Court to cancel the concession of the Hong Kong-based company to operate two ports at both ends of the Panama Canal. If the court grants the lawsuit, this will lead to the immediate cancellation of the Panama-China contract.
A subsidiary of CK Hutchison Holdings, owned by Hong Kong billionaire Li Ka-shing, has operated two of the canal’s five ports since it won the bid in 1997.
