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Marco Rubio Succeeds in Convincing Panama to Exit Belt and Road Initiative with China

Panama's President Jose Mulino, left, and U.S. Secretary of State Marco Rubio arrive for a
AP Photo/Mark Schiefelbein

Secretary of State Marco Rubio succeeded in convincing Panama’s President José Raúl Mulino to opt out of renewing its agreement with China regarding the Belt and Road Initiative (BRI).

Mulino confirmed on Sunday, after meeting with Rubio during his visit to Panama, that Panama would not be renewing the BRI agreement, according to Baha Breaking News.

Panama became the “first Latin American country to sign onto the Belt and Road Initiative” in 2018, a year after “Panama cut diplomatic ties with Taiwan,” according to the New York Times.

In 2017, China score a major victory when Panama cut diplomatic ties with Taiwan, the self-governing Island that China claims as its territory, and recognized Beijing instead. Panama had been one of the few countries worldwide to recognize Taiwan as a sovereign state.

The following year, Panama became the first Latin American country to sign onto the Belt and Road Initiative, the Chinese leader Xi Jinping’s signature global infrastructure program, which is aimed at enlarging China’s geopolitical heft and countering American influence.

During the meeting between Rubio and Mulino, the two “discussed Panama’s sovereignty, security, and economic relations” with the United States. While Rubio reportedly “informed Mulino that President Donald Trump see’s China’s influence over the Panama Canal as a potential violation of the Treaty Concerning the Permanent Neutrality and Operation of the Panama Canal,” Mulino was reported as having “emphasized that Panama’s control over the canal was non-negotiable,” according to Baha Breaking News.

However, Mulino emphasized that Panama’s control over the canal was non-negotiable and dismissed concerns about Chinese influence. He also confirmed an ongoing audit of two Chinese-operated ports, hinting that new decisions could emerge based on its findings.

Finally, the two leaders also agreed to strengthen cooperation on regional security, curb illegal migration through the Darian Gap, and enhance investment opportunities for US companies.

Reuters also reported that Mulino had confirmed that “a broad agreement between Panama and China to contribute to China’s silk road program,” was not being renewed.

“We’ll study the possibility of terminating it early,” Mulino said, according to the outlet.

In a press release issued by State Department spokesperson Tammy Bruce, it was revealed that Rubio told Mulino that President Donald Trump had determined that China’s current “position of influence and control” over the Panama Canal was “a threat to the canal.”

In response to the news that Panama was not renewing its agreement with China regarding the BRI, several people noted that Rubio was “already off to a strong start” as Secretary of State.

“This is a huge win for America,” Michael Sobolik, a senior fellow at the Hudson Institute, wrote in a post on X:

“Step in the right direction,” Trump’s National Security Advisor wrote.

“Buh bye, China,” Sen. Mike Lee (R-UT) wrote in a post. “Keep your Belt and Road out of the Americas.”

via February 2nd 2025