Senator Schmitt Leads Colleagues in Introducing Resolution Safeguarding the Panama Canal from Chinese Influence 

WASHINGTON – Today, Senator Eric Schmitt led his colleagues in introducing a Senate resolution intended to safeguard the Panama Canal from Chinese influence and ensure neutrality as required by the treaty.

“The People’s Republic of China is the United States’ chief adversary. The control of ports by Chinese-based companies in the Panama Canal, which is an irreplaceable maritime artery for global commerce as well as U.S. naval interests, is a major concern for not just the United States but the entire Western Hemisphere. This resolution takes immediate action to protect America’s core national interests. President Trump has made it clear that our national security, especially in the Panama Canal, is a priority, and I’m proud to lead my Senate colleagues in working towards that priority,” said Senator Eric Schmitt. 

“President Trump and Republicans in the Senate have repeatedly warned against increased influence by the People’s Republic of China on the Panama Canal. Today, as more and more PRC-linked companies are investing in the canal, it is critical that America strongly affirm our commitment to fairness and combat malign influence by China. America is Panama’s partner, and we need to make clear we are committed to regional security and working together to maintain fair operational management of the canal,” said Senator Katie Britt.

Senators Tom Cotton (R-AR), Katie Britt (R-AL), Roger Marshall (R-KS), Pete Ricketts (R-NE), and Marsha Blackburn (R-TN) joined Senator Schmitt on this resolution. 

BACKGROUND: 

This resolution: 

Highlights Panama’s Obligations Relative to the Canal:

·Reaffirms Panama’s commitment to the canal’s neutrality and unbiased access.

·Calls for the termination of agreements granting Chinese entities control over critical ports.

·Emphasizes the requirement of Panamanian leadership to maintain sovereignty over critical infrastructure under current arrangements.

Affirms U.S. Commitment to Regional Security:

·Provides robust technical, financial, and strategic support to Panama to counter malign foreign influence.

·Leverages provisions of the Neutrality Treaty to uphold the canal’s neutrality and security.

·Strengthens bilateral cooperation to modernize Panama’s canal infrastructure and reduce economic dependence on PRC-affiliated investments.

Promotes Regional Collaboration:

·Fosters partnerships with allies across the Western Hemisphere to counter authoritarian efforts to exploit vulnerabilities in critical infrastructure.

·Supports sustainable and transparent investments in regional development.

Proposes Strategic Joint Initiatives:

·Proposes a U.S.-Panama task force to oversee the security and operational management of the Panama Canal.

·Advocates for joint modernization efforts, ensuring the canal remains viable to serve American interests.

• In 2021, the Hong Kong company CK Hutchinson won a 25-year extension of its control over two ports at the canal’s entrances. Beijing has increased its control over Hong Kong and companies based there in recent years, and the PRC holds the authority to require private companies to comply with its demands under the guise of national security.
• Senator Schmitt has raised the issue of CCP influence over seaports, including the Panama Canal, since he was sworn in as a Senator.

Read the resolution here.