U.S. and China Clash at U.N. Over Panama Canal Control


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by Emmitt Barry, with reporting from Washington D.C. Bureau Staff

(Worthy News) – The United States and China clashed sharply Monday at a U.N. Security Council meeting over growing concerns about control and influence over the Panama Canal, a critical waterway that links the Atlantic and Pacific Oceans and is vital to global trade.

U.S. Sounds Alarm on Chinese Influence

Acting U.S. Ambassador Dorothy Shea raised alarm bells about Beijing’s “outsized influence” in the canal zone, particularly over critical port infrastructure. “China’s influence in the canal area is not just a risk to Panama and the United States, but rather a potential threat to global trade and security,” Shea warned. She alluded to China’s aggressive actions in the South China Sea as evidence of broader ambitions and called on the world to be vigilant.

Shea’s remarks echoed warnings from U.S. officials including President Donald Trump and Secretary of State Marco Rubio, who have both suggested China could use the canal “as a choke point to impede commerce in a moment of conflict.” The Trump administration has reportedly pressured China to allow the sale of canal-side ports, currently operated by Hong Kong-based CK Hutchison, to a U.S.-led consortium featuring BlackRock Inc.

China Pushes Back, Defends Record

Chinese Ambassador Fu Cong firmly denied that Beijing’s role in the canal zone undermines the waterway’s neutrality or poses any threat. “Panama has consistently and effectively managed the canal, making significant contributions to global shipping and trade,” Fu stated. “China has always respected the permanent neutrality of the canal and firmly supports Panama in safeguarding its sovereignty.”

Fu accused the United States of fabricating claims as a “pretext for seeking control of the canal,” calling Washington “the biggest disrupter of peace and stability” in global maritime affairs. He denounced what he described as U.S. “economic coercion and bullying practices,” and called on Washington to stop “creating trouble” in Panama and elsewhere.

Panama Reaffirms Sovereignty and Neutrality

Presiding over the Security Council meeting, Panama’s President José Raúl Mulino strongly reiterated his country’s ownership of the canal and the principles of neutrality enshrined in international treaties. “Panama’s sovereignty in terms of the ownership of the canal is inviolable,” Mulino declared. “The canal’s neutrality is the only and the best defense to any specific or global threats.”

Since the United States handed over control of the canal in 1999 under a 1977 treaty signed by President Jimmy Carter and General Omar Torrijos, Panama has managed the waterway, which remains essential to global trade.

Strategic Tug-of-War Intensifies

Behind the diplomatic rhetoric is an intensifying competition for influence. A recent bid by a U.S.-Swiss consortium to buy out CK Hutchison’s Panama Ports Company remains under review, complicated by Beijing’s requirement that a “major strategic investor from mainland China” be included in any deal. Meanwhile, President Mulino has signaled Panama may move to take control of ports at either end of the canal, potentially disrupting the U.S.-backed acquisition.

The meeting also heard warnings from Interpol Secretary General Valdecy Urquiza, who cited growing maritime security threats such as piracy, cybercrime, and the vulnerability of ports to AI-powered attacks.

Military and Security Concerns

In April, U.S. Defense Secretary Pete Hegseth visited Panama and agreed with Mulino to step up security coordination, granting U.S. troops access to key air and naval facilities—a move that sparked protests in Panama City. The security partnership underscores Washington’s determination to maintain influence in the region as Beijing expands its economic and political reach.

The Canal’s Future: Global Stakes

The fate of the Panama Canal, long a symbol of international cooperation and tension, now hangs in the balance amid escalating rivalry between the world’s two largest economies. As both powers jockey for leverage, Panama continues to insist on its neutrality and sovereignty, even as it faces unprecedented pressure from both East and West.

Reporting contributed by Worthy News staff and wire services.

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