US, Allies Accuse China of Pressuring Panama in Canal Dispute

(MENAFN) The United States has led a coalition of regional countries in issuing a joint statement describing China’s actions in relation to the Panama Canal as a “threat,” escalating diplomatic tensions between Washington and Beijing over one of the world’s most critical trade routes.

The dispute centers on control and influence over the Panama Canal, a strategic waterway connecting the Atlantic and Pacific oceans. Both the United States and China have accused each other of attempting to assert dominance over the canal’s operations and surrounding infrastructure.

Tensions increased after Panama moved to take control of two port facilities previously managed by a Hong Kong-based company, following a ruling by Panama’s Supreme Court earlier in the year. The decision triggered a series of diplomatic reactions, with Washington and Beijing exchanging accusations over maritime interference and political pressure.

The United States, together with several Latin American partners including Bolivia, Costa Rica, Guyana, Paraguay, and Trinidad and Tobago, issued a joint statement arguing that recent developments represent an attempt to politicize international maritime trade and undermine the sovereignty of countries in the region.

The statement emphasized that Panama plays a central role in global shipping and must remain free from external coercion. It further warned that any effort to weaken Panama’s sovereignty would pose broader risks to regional stability.

China rejected the accusations, dismissing the statement as defamatory and accusing the United States of escalating tensions. Beijing argued that Washington is the party politicizing the issue and spreading misleading claims about port operations and maritime security.

The diplomatic dispute unfolds against a broader backdrop of intensified US-China competition in Latin America. The current US administration has pledged to strengthen its regional influence and counter what it describes as growing Chinese presence in strategic infrastructure and trade networks.

The Panama Canal itself remains a longstanding point of geopolitical significance, having been transferred to Panamanian control under international agreements decades ago, though it continues to attract global strategic interest due to its role in international shipping routes.

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