Secretary of State Marco Rubio told Panamanian President Jose Raul Mulino that the Panama Canal must be rid of Chinese influence or else Panama could face retaliation from the Trump administration.
Rubio made his first foreign trip as the nation’s top diplomat to Panama where he met with Mulino on Sunday. President Donald Trump and Rubio have been highly critical of China’s growing influence, particularly when it comes to the fentanyl and opioid crisis plaguing the United States.
“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,” the State Department said in a summary of the meeting.
Speaking to reporters after the meeting, Mulino said Rubio did not make any real threats about “retaking the canal or the use of force.”
However, Rubio did tell Mulino the Trump administration believes China’s operation in the canal violates a treaty agreement between the U.S. and Panama that the American-built canal would remain neutral.
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Still, Mulino called his conversation with Rubio “respectful” and said he did not believe there was a “real threat against the treaty and its validity.” The Panamanian president also said the country would not be renewing its Belt and Road Initiative agreement with China.
Hong Kong-based Hutchison Ports was given a 25-year no-bid extension to run the canal, but now an audit is underway which could lead to a rebidding of control of the canal.
