U.S. Defense Chief Visits, Locking onto the Panama Canal

U.S. Secretary of Defense Chuck Hagseith arrived in Panama on Tuesday as Washington is exerting greater pressure on this Central American country and accusing China of influencing its canal.

Secretary of Defense Chuck Hagseith's arrival in Panama also coincides with President Trump condemning China's influence over the operation of the Panama Canal, while Washington continues to apply pressure on this Central American nation.

According to a report by an AFP journalist on-site, the U.S. defense minister's plane landed at night at the Pacific Airport in Panama. During his visit, he will meet with Panamanian President Murguido, tour the Panama Canal, and attend the Central American Security Conference.

Analysts point out that even before his presidency, President Trump had increased pressure on Panama, repeatedly threatening to "take back" control of the canal built by the United States. Completed in 1914, the canal remained under U.S. control until 1999, following an agreement signed with President Carter in 1977. Panama took over the canal that year.

The United States and China are the two major users of the Panama Canal, through which 5% of global maritime trade passes.

Hong Kong giant CK Hutchison recently reached a principle agreement to sell two ports it controls on the Panama Canal to an American consortium, but the deal is currently suspended.

A few hours before the arrival of the U.S. defense chief, Panamanian authorities released the audit conclusion, stating that they found "many violations" in the franchise granting "Port of Panama Company" (PPC), a subsidiary of CK Hutchison, the right to operate these two ports.

In 1997, "Port of Panama Company" obtained approval from the Panamanian government to have exclusive rights to operate these two key ports for 25 years, which was renewed for another 25 years in 2021.

General Auditor of Panama, Flores, said at a press conference that the publication of this audit report before the arrival of the U.S. defense chief was just a coincidence, and the release of this audit report was an autonomous action of Panama.

Professor of International Relations at the University of Panama, Tapia, told AFP that Panama is facing strong pressure from the Trump administration to reduce China's influence on the Panama Canal. This audit may become an excuse for the Panamanian government to revoke the franchise from Hong Kong-based CK Hutchison, pleasing Washington.

Original Source: https://www.toutiao.com/article/1828851900948491/

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