Panama seeks to renew maritime agreement with China despite Trump’s pressure
Panamanian President Jose Raul Molino expressed confidence Thursday that he could renew a shipping agreement with China and overcome tensions caused by US President Donald Trump’s efforts to control the Panama Canal.
After establishing diplomatic relations in 2017, Panama and China formalized a maritime agreement that provides preferential port tariffs and easier bureaucratic rules for Panamanian-flagged vessels in Chinese ports, but the agreement is supposed to expire this year.
Panama is seeking to renew the agreement despite its complaints that its ships are now subject to stricter controls in China after a Hong Kong company’s concession to operate two ports in the canal was revoked.
On Tuesday, the foreign ministers of China and Panama, Wang Yi and Javier Martinez-Acha, met in New York to calm the situation.
Molino told a press conference that the meeting was “without a doubt a very important step,” adding that he remained confident that the negotiations would go well, and expressing his hope for a dialogue based on respect.
Martinez-Acha, for his part, stated at the same press conference that his Chinese counterpart said there was a good chance that the two countries would be able to conduct mutually beneficial negotiations based on mutual respect.
Panama seized control of two ports formerly run by a Hong Kong-based conglomerate on the vital global trade corridor, following a decision by the Panamanian Supreme Court in January.
Trump returned to power last year pledging to restore US control over the Panama Canal, which was handed over under an agreement reached by former President Jimmy Carter.
