China has suffered a major setback since Donald Trump became President of America. Under the pressure of Trump, Panama has decided to cancel a large project with China. China’s Belt and Road (BRI) scheme may end in relation to the Panama Canal. There is a ups and downs in the world after Donald Trump became the President of America. The US has imposed heavy tariffs on countries such as China, Canada and Mexico. Now China has suffered a major setback over the Panama Canal. Under the pressure of Trump, Panama President Jose Raul Mulino said he would not renew China’s Belt and Road (BRI) scheme.
Requirement of immediate change
US Secretary of State Marco Rubio arrived in Panama on Sunday. Where he discussed the Panama Canal with Panama President Raul Molina. Meanwhile, Rubio said that Panama needs to make immediate changes to reduce China’s presence and influence on the Panama Canal, otherwise the US will take necessary steps to protect its authorities. Now Panama’s President Mulino has also given a big statement about this. President Raul Mulino said that Panama would not review the Belt and Road Agreement with China, and the agreement may end prematurely. In 2017, an agreement was signed between China and Panama. Panama wants to work with the United States on new investment. It also includes infrastructure projects. Mulino said that he believes that Rubio’s visit will open the doors to form new relations. We will try to increase American investment in Panama as much as possible.
What did the US State Department say?
Following Mulino’s comments, the US State Department said that Rubio told the President of Panama that concerns about China’s “control” on the Panama Canal could mean that America can be long about neutrality and operation of the canal. Timely concerns will have to be abandoned. Necessary steps have to be taken. To protect their rights according to the treaty.
What is the Treaty of 1977?
Under the Treaty of 1977, the United States returned the canal control to Panama. According to this agreement, the US can interfere with military intervention if the canal operations are interrupted due to internal conflict or any foreign power. Donald Trump has repeatedly and publicly expressed the desire that the US re-control this major waterway.
