China Condemns US "Cold War Mentality" in Latin America
Tensions Rise Over Panama Canal
China has condemned a "Cold War mentality" by the United States in Latin America, following comments by Secretary of State Marco Rubio during a visit to the region. The US has refused to rule out the use of force to seize the Panama Canal, a vital waterway that connects the Caribbean Sea to the Pacific Ocean.
Panama Canal’s Strategic Importance
The Panama Canal is a critical artery of global trade, handling around 40 percent of US container traffic. The waterway is a key route for international commerce, with five percent of global maritime trade passing through it. Beyond the tolls paid, Washington has appeared chiefly concerned about Chinese investment in the 80-kilometre (50-mile) long canal.
Rubio’s Threats
During his week-long visit to Central America, Rubio threatened action against Panama unless it made immediate changes to reduce Chinese influence on the canal. China has "lodged a solemn representation with the US side" in response to Rubio’s remarks, which Beijing said "unjustly accuse China" and "deliberately sow discord between China and relevant Latin American countries".
Belt and Road Initiative
The controversy comes as Panama has pulled out of the Belt and Road Initiative (BRI) infrastructure programme, a massive project that is a central pillar of Chinese President Xi Jinping’s bid to expand his country’s clout overseas. Beijing has said it "firmly opposes the US using pressure and coercion to smear and undermine Belt and Road cooperation", arguing that the initiative has benefited people in countries such as Panama.
US Concerns
The US has long been concerned about Chinese investment in the Panama Canal, fearing it could give Beijing too much influence over the waterway. Washington has also accused China of using the BRI to enmesh developing nations in unsustainable debt, exert diplomatic leverage over them, or even seize their assets. However, China has insisted that it "supports Panama’s sovereignty over the canal" and has called the US’ attacks and interference in relevant cooperation "hegemonic in nature".
Conclusion
The tensions between China and the US over the Panama Canal highlight the ongoing competition for influence in Latin America. The region is seen as a key battleground in the global struggle for power, with both Beijing and Washington seeking to expand their presence and influence. The controversy is likely to continue to escalate, with both sides dug in on their positions.
Frequently Asked Questions
Q: Why is the US concerned about Chinese investment in the Panama Canal?
A: The US is concerned that Chinese investment in the Panama Canal could give Beijing too much influence over the waterway, potentially allowing China to exert control over global trade routes.
Q: What is the Belt and Road Initiative?
A: The Belt and Road Initiative is a massive infrastructure project that is a central pillar of Chinese President Xi Jinping’s bid to expand China’s clout overseas. The initiative aims to connect China with other parts of Asia, Europe, and Africa through a network of roads, railways, and ports.
Q: Why has Panama pulled out of the Belt and Road Initiative?
A: Panama has not officially stated why it has pulled out of the Belt and Road Initiative, but it is likely that the decision was made due to concerns about the initiative’s terms and conditions.