China has hit back at the United States, accusing it of “coercion” after Panama decided not to renew an important infrastructure agreement with Beijing. This move came in the wake of a threat from Washington DC to reclaim the Panama Canal.
Foreign Ministry spokesperson Lin Jian said at a press conference that China “firmly opposes the U.S. smearing and undermining the Belt and Road cooperation through means of pressure and coercion.”
The Belt and Road Initiative, a cornerstone of President Xi Jinping’s foreign policy, aims to connect China with other regions through extensive infrastructure projects such as roads, railways, airports, power plants, and more, reports The Associated Press.
While the initiative has seen significant accomplishments, it has also sparked concerns over debt burdens and environmental impacts.
Panama’s withdrawal from the agreement is perceived as yielding to US interests concerning the canal, following a warning from US Senator Marco Rubio to Panamanian leader Jose Raul Mulino.
Rubio said on Sunday that Panama must curtail what former President Donald Trump described as excessive Chinese sway over the canal zone or risk repercussions from the US.
Despite this, Mulino has stood firm against the new US administration’s attempts to negotiate control over the strategically crucial waterway.
However, there is speculation that Panama may be willing to consider a compromise, where the operation of both sides of the canal is removed from Hutchison Ports, a Hong Kong-based company that was granted a 25-year no-bid extension to manage the canal.
An ongoing audit is reviewing the suitability of this extension, which could potentially lead to a rebidding process.
Source : https://www.the-express.com/news/world-news/162964/china-and-us-fight-over-panama
