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US, Allies Back Panama in Dispute with China Over Canal
๐Ÿ‡ฉ๐Ÿ‡ฐ Denmark /Economy & Trade

US, Allies Back Panama in Dispute with China Over Canal

From Berlingske · (8m ago) Danish Critical tone

Translated from Danish, summarized and contextualized by DistantNews.

TLDR

  • The US and several Latin American and Caribbean nations have issued a joint statement supporting Panama in its dispute with China over the Panama Canal.
  • They condemn China's actions against ships under Panamanian registry, calling them politically motivated and a violation of sovereignty.
  • The dispute escalated after Panama's Supreme Court annulled port contracts held by a Hong Kong-based firm, leading to alleged retaliatory measures by China against Panamanian-flagged vessels.

In a significant show of solidarity, the United States, alongside a coalition of nations from Latin America and the Caribbean, has firmly backed Panama in its escalating conflict with China concerning the vital Panama Canal. This joint statement, released early Wednesday, unequivocally condemns China's recent actions targeting vessels registered under Panama's flag, labeling them as politicized maneuvers that infringe upon the sovereignty of Western Hemisphere nations.

Our collective stance, articulated alongside Bolivia, Costa Rica, Guyana, Paraguay, and Trinidad and Tobago, emphasizes that Panama is a cornerstone of our maritime trade system and must remain free from undue external pressure. We are closely monitoring China's targeted economic coercion and its detrimental impact on Panamanian-flagged ships. This is not merely a bilateral issue; it strikes at the heart of global maritime stability and the principles of free navigation.

Vi observerer nรธje Kinas mรฅlrettede รธkonomiske pres og de seneste handlinger, der har pรฅvirket skibe under panamansk flag

โ€” USA and Latin American/Caribbean countriesExpressing close observation of China's economic pressure and actions against Panamanian-flagged ships.

The situation intensified following a late January ruling by Panama's Supreme Court, which nullified port contracts operated by the Hong Kong-based CK Hutchison company at the Balboa and Cristรณbal terminals. These contracts, managed by CK Hutchison's subsidiary, Panama Ports Company, had been in place since the 1990s. While Hong Kong's government expressed strong dissatisfaction, reports suggest this judicial decision followed increasing pressure from the US aimed at curbing Chinese influence within the canal's operations.

From our perspective at Berlingske, this dispute highlights the complex geopolitical dynamics surrounding critical global infrastructure. While international outlets may focus on the US-China rivalry, we recognize the profound implications for regional stability and economic integrity. Panama's role as a linchpin for global trade, with approximately five percent of the world's maritime commerce passing through its canalโ€”used extensively by both the US and Chinaโ€”makes this a matter of paramount importance for our own economic interests and those of our allies. The alleged retaliatory actions by China, which Beijing denies, further underscore the need for vigilance and adherence to international norms.

Panama er en sรธjle i vores maritime handelssystem og skal forblive fri for ethvert uberettiget pres udefra.

โ€” USA and Latin American/Caribbean countriesStating Panama's importance to maritime trade and its right to be free from external pressure.
DistantNews Editorial

Originally published by Berlingske in Danish. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.