Panama to exit China's Silk Road deal after talks

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Panamanian President Jose Raul Mulino announced Sunday that his country will not renew its Belt and Road Initiative (BRI) agreement with China. The decision came after a meeting with US Secretary of State Marco Rubio, where both sides discussed Panama's sovereignty, security, and economic relations with the US.

According to a statement from the US State Department, Rubio informed Mulino that President Donald Trump sees China's influence over the Panama Canal as a potential violation of the Treaty Concerning the Permanent Neutrality and Operation of the Panama Canal. Rubio warned that the US could take necessary measures to protect its treaty rights if immediate changes are not made.

However, Mulino emphasized that Panama's control over the canal was non-negotiable and dismissed concerns about Chinese influence. He also confirmed an ongoing audit of two Chinese-operated ports, hinting that new decisions could emerge based on its findings.

Finally, the two leaders also agreed to strengthen cooperation on regional security, curb illegal migration through the Darien Gap, and enhance investment opportunities for US companies.

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