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China’s retaliation against Panama has backfires across Latin America

13 0
08.04.2026

China’s retaliation against Panama has backfires across Latin America 

China’s acts of commercial harassment against Panama have sparked indignation across Latin America. This could even spur a rapprochement with Taiwan.

Beijing has a long track record of debt traps and commercial threats and reprisals against nations that choose to exercise their sovereignty — in other words, a new silk rope.

The communist power has intensified arbitrary detentions of Panama-flagged vessels under the pretext of conducting routine inspections. This measure was implemented after a Panamanian court granted the Central American nation control over the ports of Cristóbal and Balboa — facilities at either end of the Panama Canal, previously operated by the Hong Kong-based company CK Hutchison.

Secretary of State Marco Rubio has condemned Beijing’s retaliation, stating it “destabilizes supply chains, raises costs, and erodes confidence in the global trading system. … The United States stands with Panama against any retaliatory actions against its sovereignty and will always support our partners in the face of bullying.”  

This is not the first time China has responded to a setback with intimidation. Let us not forget that, just last year, the communist nation warned Mexico to “think twice before making any tariff adjustment” — a statement delivered without filters and with imperial arrogance.

On that occasion, Mexico announced that it would impose tariffs on 1,400 products originating from China, India, Turkey and other countries. The measure sought to........

© The Hill