By Donald Trump has begun to rack up major foreign policy victories over the first two weeks or so of his administration. Panama is poised to become the first Latin American nation to withdraw from China’s Belt and Road Initiative, marking a significant geopolitical shift in the region. President José Raúl Mulino announced the decision after discussions with U.S. Secretary of State Marco Rubio, who selected Panama as the destination for his first foreign visit in office.
Mulino informed reporters on Sunday that the country’s agreement with the BRI is nearing its renewal window within the next one to two years. However, he stated that his administration is actively considering an earlier termination, signaling a break from the partnership that began in 2017 when Panama became the first Latin American country to join the initiative.
🇵🇦🇺🇸 | Luego de la reunión con el secretario de Estado de Estados Unidos, Marco Rubio, el presidente de Panamá, José Raúl Molino, informó que su gobierno no renovará el memorando de entendimiento sobre la “Ruta de la Seda” firmado con China.
👉 “Vamos a estudiar la posibilidad… pic.twitter.com/mxGjyHzjpl
— PanAm Post Español (@PanAmPost_es) February 2, 2025
“I think this visit opens the door to build new relations … and try to increase as much as possible U.S. investments in Panama,” Mulino told reporters, according to Fox News, after meeting with Rubio on his first international trip since being confirmed.
Rubio, who was a senator representing Florida before Trump tapped him to be America’s top diplomat, said his team is ready to push the U.S. agenda.
“Had the pleasure of meeting the incredible @USEmbPAN team during my first embassy meet and greet in my new role as Secretary of State!” Rubio wrote in a post on X. “Thankful for their dedication and ongoing efforts to promoting President Trump’s vision of an America First foreign policy.”
During his visit, Rubio wrote in a post on X that “the United States cannot, and will not, allow the Chinese Communist Party to continue with its effective and growing control over the Panama Canal area.”
I met with Panamanian President @JoseRaulMulino and Foreign Minister @javierachapma to make clear that the United States cannot, and will not, allow the Chinese Communist Party to continue with its effective and growing control over the Panama Canal area. We also discussed… pic.twitter.com/Hj0pXGahqk
— Secretary Marco Rubio (@SecRubio) February 2, 2025
Panama was the first Latin American nation to join China’s Belt and Road Initiative, a move the communist nation has used to expand influence, infrastructure, trade, and geopolitical leverage globally. China had also been using the program to gain influence in the Caribbean.
Panama has held an especially strategic importance for Beijing, mainly due to its control of the Panama Canal, reported The Washington Free Beacon. Chinese companies have invested in infrastructure projects near the canal, expanding China’s economic footprint in the region. The canal itself, once under U.S. jurisdiction until its transfer to Panama in 1999, remains a focal point in great-power competition.
Panama’s decision to exit the BRI comes at a time of heightened global scrutiny of China’s overseas investment practices. Italy, the only G7 member to have joined the initiative, officially withdrew in 2023, citing limited economic benefits. Brazil also explored participation last year but ultimately opted against joining, voicing concerns over long-term obligations to Beijing.
Michael Sobolik, a China expert at the Hudson Institute, told The Free Beacon that Panama’s withdrawal as a setback for Beijing’s strategic ambitions in Latin America. He suggested that Washington should view the move as a diplomatic win, encouraging other Latin American nations to follow suit.
“Americans should welcome this achievement, and every BRI partner in Latin America should follow Panama’s example.”
The withdrawal and push by American diplomats also reveals how much things have changed with the United States replacing Joe Biden with Donald Trump.
Several Democrats have been accused of having close relationships with communists in China, but there was likely no one potentially compromised than the former “Big Guy” and his family, Joe Biden.
In 2023, the House Oversight Committee released a set of messages from Hunter Biden to a Chinese asset connected to the CCP that appear to show that it was not only the president’s son who was “influence peddling.”
The messages showed “Hunter Biden threatening a Chinese official in order to secure a large payout for a “commitment.” Within a week of that exchange, a subsidiary of CEFC, a Chinese energy conglomerate, wired $5.1 million to Hunter Biden, with part of the money getting flagged by one bank for possible money laundering, writes Red State.
HUNTER BIDEN: ‘We are all saying the same thing I hope. Please let’s put this to bed tonight sign officially tomorrow (or anytime as late tonight as you want) and get to work. I am tired of this Kevin. I can make $5M in salary at any law firm in America. If you think this is about the money it’s not. The Bidens are the best I know at doing exactly what the Chairman wants from this partnership. Please let’s not quibble over peanuts.’”
As the House Oversight Committee notes, the very next day after that message, $100,000 was wired to one of Hunter Biden’s shell companies from CEFC.
One of the associates of Hunter Biden claimed that the former president’s son had a “mole” in the FBI that he used to help China pursue the Belt and Road Initiative.
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