Rubio tells Panama to end China’s influence on canal or face US action
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US Secretary of State Marco Rubio did not spell out exactly what steps Panama must take or what US retaliation would look like.
PHOTO: REUTERS
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PANAMA CITY - US Secretary of State Marco Rubio on Feb 2 warned Panamanian President Jose Raul Mulino
Mr Mulino, after talks with the top US diplomat in Panama City, signalled he would review agreements
A broad agreement between Panama and Beijing to contribute to China’s Belt and Road Initiative, under which the Asian country expanded investment in Panama during previous administrations, will not be renewed, he said.
“We’ll study the possibility of terminating it early,” Mr Mulino added.
“I do not feel that there is any real threat at this time against the (neutrality) treaty, its validity, and much less the use of military force to make the treaty,” he said, adding that it will be important to have face-to-face talks with Mr Trump.
Mr Rubio delivered a message from Mr Trump that China’s presence – through a Hong-Kong based company operating two ports near the canal’s entrances – was a threat to the waterway and a violation of the US-Panama treaty, US State Department spokeswoman Tammy Bruce said in a statement.
“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,” Ms Bruce said.
Mr Rubio did not spell out exactly what steps Panama must take or what US retaliation would look like.
Upon returning to office, Mr Trump threatened to take control of the Panama Canal, built by the US in the early 20th century and handed over to Panama in 1999, claiming the canal is being operated by Beijing. He has refused to rule out the use of military force over Panama, drawing criticism from Washington’s Latin American friends and foes alike.
“China’s running the Panama Canal. That was not given to China, that was given to Panama – foolishly – but they violated the agreement, and we’re going to take it back, or something very powerful is going to happen,” Mr Trump told reporters.
“I don’t think troops will be necessary in Panama,” he added.
Mr Rubio, a long-time China hawk during his Senate career, said last week on SiriusXM’s The Megyn Kelly Show that China could use the ports to shut down the canal, a vital route for US shipping, in the event of a conflict between Beijing and Washington.
Mr Mulino said his meeting with Mr Rubio was respectful and cordial. He showed willingness to review some Chinese businesses in Panama, including a key 25-year concession to Hong Kong-based CK Hutchison Holdings, renewed in 2021 for the operation of ports at both entrances of the canal, pending the results of an audit.
The contract has been targeted by US lawmakers and the government as an example of China’s expansion in Panama, which they claim goes against a neutrality treaty signed by both countries in 1977.
Panama’s government and some experts reject that assertion, mainly because the ports are not part of the canal’s operations. The canal is operated by the Panama Canal Authority, an autonomous agency overseen by the Panamanian government.
The canal authority said late on Feb 2 that it will “optimise transit priority” of US Navy ships through the waterway. Mr Mulino assured Mr Rubio that US Navy vessels would enjoy free passage, a US official said.
First tour
Mr Rubio later visited the Miraflores Locks, through which ships pass between the Pacific Ocean and the canal. Canal officials briefed Mr Rubio as a Panamanian-flagged liquefied petroleum gas carrier entered a lock from the canal to descend to the Pacific.
China has said it plays no part in operating the canal, and that it respects Panama’s sovereignty and independence over the waterway.
“Never ever has China interfered,” Chinese Foreign Ministry spokeswoman Mao Ning said when asked about the US claims in January, adding that China recognises the canal as “a permanently neutral international waterway”.
Mr Rubio is touring Central America and the Caribbean on his first foray in the post as he seeks to refocus US diplomacy on the Western Hemisphere – in part to recruit help in stemming migration towards the US southern border.
The visit also reflects a US desire to counter China’s growing economic and political influence in Latin America.
Mr Mulino also announced that a memorandum of understanding signed in July with the US Department of Homeland Security could be expanded so Venezuelans, Colombians and Ecuadoreans can be returned from the perilous Darien Gap at US cost, through an airstrip in Panama.
The Darien Gap connects Colombia with the Central American nation of Panama, and increasing numbers of migrants are making the journey north to reach the US.
Mr Rubio has ordered the State Department to put migration issues at the centre of its diplomacy with countries in the region. Officials have said Mr Rubio will use the trip to smooth the acceptance of US deportation flights to the region. REUTERS
