US-China Spat Over Panama Canal Has Surprise Winner: JP Spinetto

Aug. 13, 2025, 9:00 AM UTC

If any country knows what it’s like to be thrust into the geopolitical spotlight, it’s Panama.

The Central American nation has become an unlikely focal point in the growing rivalry between the US and China, ever since Donald Trump last year targeted its most revered national symbol: the Panama Canal.

Trump’s unexpected pledge to reclaim the iconic waterway for the US, mentioning Panama six times during his address to Congress in March, sent shockwaves through this nation of 4.5 million, a longtime American ally and a vital hub of global trade.

But almost seven months into Trump 2.0, a different picture is emerging: The ...

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