China's Interests and Expansion Into Central America; Non-Transparency on the Part of Panama; and Possible Retaliation by the US

[Keith Woolford]

US recalls ambassadors over recognition of China

Washington seeks consultations over moves to break diplomatic relations with Taiwan

 

The U.S. chargé d'affaires in Panama has been recalled for consultations as have the ambassadors to El Salvador and the Dominican Republic.

 

https://www.ft.com/content/1bf84e7c-b301-11e8-8d14-6f049d06439c

 

Edited September 8, 2018 by Keith Woolford

[Bonnie]

I'd like to read this, but it requires that you subscribe to the Financial Times.

I daresay that Panama won't take kindly to the U.S. interfering into its diplomatic relations with other countries--if that, indeed, is what this is about.

[Keith Woolford]

3 hours ago, Bonnie said:

I'd like to read this, but it requires that you subscribe to the Financial Times.

Did not have any trouble reading the article, but it wouldn’t allow me to copy the text.

[Siempre Soluciones]

 

US recalls ambassadors over recognition of China

Washington seeks consultations over moves to break diplomatic relations with Taiwan

Jude Webber in Mexico City September 7, 2018

The US has recalled the heads of its missions to the Dominican Republic, El Salvador and Panama for consultations over decisions by governments in those countries to break diplomatic relations with Taiwan and switch to China instead.

The state department said the US ambassadors to the Dominican Republic and El Salvador and the chargé d’affaires in Panama had been summoned back to Washington for talks, even though the US itself recognises Beijing.

“Our three chiefs of mission will meet with US government leaders to discuss ways in which the United States can support strong, independent, democratic institutions and economies throughout Central America and the Caribbean,” a spokeswoman said.

Panama set the ball rolling in the region in June last year when it severed ties with Taiwan in favour of China. The Dominican Republic followed suit in May this year and El Salvador made the switch last month. Taiwan now has formal diplomatic ties with just 17 countries.

In the most recent country to switch sides, El Salvador, the decision raised widespread suspicions that the move was in part electorally motivated, said Johnny Wright, an opposition legislator. Aid from socialist ally Venezuela has dried up and “official sources in Taiwan have claimed that the government of El Salvador sought financing for the [February 2019 presidential election] campaign”, he said.

El Salvador’s switch came after its government “repeatedly demanded large amounts of funds from Taiwan” for a port development that had “tremendous debt risks for both Taiwan and El Salvador”, Taiwan’s foreign minister Joseph Wu said in August. China denied the claims.

In Mexico, there has been speculation that China could be interested in investing in infrastructure projects to be launched by president-elect Andrés Manuel López Obrador, who takes office on December 1. He is planning a trans-isthmus rail route and a train from Cancún to the Maya temple Palenque, both of which have been seen as potential targets for Chinese investment.

The move comes amid a broader push by Beijing to increase pressure on Taiwan since the Democratic Progressive party led by Tsai Ing-wen replaced the more China-friendly Kuomintang in 2016. Beijing has frozen official communication with Taipei, increased military activity near Taiwan-controlled territory and has worked to block the island’s officials from international forums since the new government came to power.

After China was admitted to the United Nations in 1971, most countries switched recognition from Taiwan to Beijing. But the two sides have competed for allies — typically through financial measures — and Taipei’s remaining partners are mostly small countries in the Pacific, Latin America and the Caribbean.

A group of bipartisan US senators this week introduced new legislation aimed at supporting diplomatic recognition and strengthening unofficial ties with Taiwan, in another sign of American unease with China’s burgeoning international influence.

The law would authorise the state department to downgrade US relations with any government that takes adverse actions against Taiwan, including suspending foreign aid and military spending. It was introduced by Republican senators Marco Rubio and Cory Gardner and Democratic senators Ed Markey and Bob Menendez.

“China’s insidious agenda to isolate Taiwan cannot go unanswered,” Mr Rubio said.

Additional reporting by Edward White in Taipei

[Keith Woolford]

Panama made this shift well over a year ago.  Where was the State Department at the time?

[Marcelyn]

This US action may be part of the tariff sanctions aimed at China.

[Moderator_02]

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US wake up call over Panama-China links

Posted on September 8, 2018 in Panama

Post Views: 301

 

The call for consultations by the United States to its diplomatic representatives in Panama, El Salvador and the Dominican Republic, is seen  as a strong  wake-up call for Panama, about the way its developing relations with China,

Former ambassador Eloy Alfaro Alba said Panama needs to maintain a balanced management of diplomatic relationships with the two countries.

On Friday, September 7 the US  State Department called its diplomatic representatives in Panama, El Salvador and the Dominican Republic to Washington for consultations in order to evaluate the decision of those countries to break their relations with Taiwan, in favor of a better rapport with China.

Friday’s move can be interpreted as a  signal to Panama “Because the region may be susceptible to influences from China and the eventual control by that country of the area that The United States considers its backyard. ”

Alba said that having established relations with China sooner or later was going to be a topic of interest for the United States, but Panama has the right to establish diplomatic relations with whoever It wishes and he reiterated that relations with Taiwan “did not make sense”.

“China is a power in the world from the commercial point of view and one of the main users of the Panama Canal, “he told TVN Noticias.

Alfaro also mentioned that the call that has been made to diplomats to go to consultations in Washington also has something to do with the fear that through non-transparent mechanisms of corruption, China could dominate Panama to fulfill its commercial purposes.

The call may also have been influenced by rumors that the diplomatic headquarters of China,  could be on the banks of the Panama Canal.

President Trump has previously included the hand-over of the canal to Panama on his list of bad deals by previous US  administrations.

 

https://www.newsroompanama.com/news/panama/us-wake-up-call-over-panama-china-links

[Keith Woolford]

On 9/8/2018 at 3:28 PM, Bonnie said:

I daresay that Panama won't take kindly to the U.S. interfering into its diplomatic relations with other countries--if that, indeed, is what this is about.

President Juan Carlos Varela issued this response today which confirms your suspicions.

[Moderator_02]

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Panama asks for respect to its sovereign decisions and reiterates alliance with the US

Sun, 09/09/2018 - 20:39

On Sunday, Panama President Juan Carlos Varela requested respect for the sovereign decisions of his country and highlighted the historic cooperation ties with the US, which on Friday called its diplomatic representatives for consultations over the ties established by the Central American country with China more than a year ago.

"We respect the sovereign decisions of other countries and equally we will always ask for the same respect to ours, to continue strengthening bilateral relations and thus continue to advance to position ourselves as a country of union, dialogue, consensus and peace," Varela said in a statement.

The government of President Donald Trump called last Friday for consultations with its business manager in Panama, Roxanne Cabral, and its ambassadors to the Dominican Republic, Robin Bernstein, and to El Salvador, Jean Manes, over "recent decisions to avoid recognizing Taiwan" in favor of China.

"As a sovereign country, we will always take our foreign policy decisions based on the interests of the Republic of Panama, and we are also confident that the best interests of Panama do not wrangle with the interests of our strategic partners," the Panamanian president said on Saturday.

He recalled that Panama "has a historical tradition of 115 years with the people and governments of the United States, with its institutions and security agencies."

"We have worked and will continue to work together with the United States to maintain political and social stability in the region," said Varela, after highlighting bilateral cooperation "in the fight against organized crime, drug trafficking and terrorism."

Both countries also share "values of democracy and freedom", and their "economic models are based on free enterprise and development" of their "nations in the pursuit of welfare" of citizens, added the president of Panama.

Panama entered into diplomatic relations with China in June 2017, while the Dominican Republic as well as El Salvador in May and August. The three countries are part of the Central American Integration System (SICA), whose other member, Costa Rica, was the first in the region to establish those ties in 2007.

Relations with China mean the breaking of ties with Taiwan, considered a rebel province by the Chinese Government and which only has 17 diplomatic allies in the world, of which nine are in Latin America and the Caribbean, including Nicaragua, Honduras and Guatemala, other SICA partners.

"Until today the Republic of Panama lacked diplomatic relations with the People's Republic of China, a state that represents 20 percent of the world's population and constitutes the second largest economy in the world. This is a situation that cannot continue being perpetrated by a responsible leader" said Varela when announcing the decision on his speech broadcast on national radio and television on June 12, 2017.

Since then, the Panamanian Government has highlighted the advances in the bilateral relation with the signing of more than 20 million-dollar agreements and plans, such as a bullet train that would connect the capital with the province of Chiriquí, bordering Costa Rica.

 

https://www.panamatoday.com/panama/panama-asks-respect-its-sovereign-decisions-and-reiterates-alliance-us-7802

[Moderator_02]

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Varela  signals US – “Panama first ”

Posted on September 9, 2018 in Panama

Post Views: 285

 

Panama respects the sovereign decisions of other countries and expects “the same respect for ours to continue to strengthen bilateral relations”  said President Juan Carlos Varela on Sunday, September 9.

Varela’s statement came after the  US State Department called the heads of its diplomatic missions in Panama, El Salvador, and the  Dominican Republic, to Washington to discuss  “the effects of the decision of the three countries not to recognize Taiwan, and to establish diplomatic relationships with the People’s Republic of China.

In a statement, Varela recalled that Panama has a historical relationship of 115 years with the people and the governments of the United States, with their institutions and security agencies.

“We are always moving forward in the fight against organized crime, drug trafficking, and terrorism, we share values of democracy and freedom, our economic models are based on free enterprise and the development of our nationals in the pursuit of the welfare of citizens, “he said.

Panama will continue working together with the United States to maintain the political stability of the region but

“As a sovereign country, we will always take our foreign policy decisions based on the interests of the Republic of Panama. We are also confident that Panama’s best interests do not quarrel with the interests of our strategic partners, ” said Varela.

 

https://www.newsroompanama.com/news/panama/varela-signals-us-panama-first

[Moderator_02]

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No tension with US over China links

Posted on September 12, 2018 in Panama

 

President Juan Carlos Varela

Post Views: 89

 

PANAMA ’S relationship with China “will bring many benefits and will not affect the relationship with a strategic partner like the United States said President Juan, Carlos Varela, on  Wednesday, September 12

The statement comes after the US State Department called three regional heads of mission – including the one in Panama- to ask for explanations about the loss of support for Taiwan.

“They are internal issues of the United States that we respect, “said Varela, adding that  that at present there is “no type of tension “with the United States, and  he believes that the decision to that country to call its officials was because of  the last move by  El Salvador made, to break with Taiwan and establish relations with China.

He said that the only thing the countries have done is to support the one-China policy “like the United States did 40 years ago. ”

He explained that when he was a candidate, in 2007, he pledged to recognize China and “I kept my word.”

Embassy location
On the lands where the Chinese embassy will be built, Varela said that they are considering several locations, including Amador and Clayton. But the subject is exclusively that of the Chancellery of the Republic.

 

https://www.newsroompanama.com/news/panama/no-tension-with-us-over-china-links

[Moderator_02]

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Panama denies "tensions" with the US for ties with China

Wed, 09/12/2018 - 14:48

The president of Panama, Juan Carlos Varela, said today that there is "no kind of tension" with the United States, after that country called its diplomatic representative for consultations over ties established by the Central American nation with China more than a year ago.

"I believe that (the US call for consultations) was led by the last decision taken by El Salvador and because the three countries that decided to support the one-China policy were called for consultations, a decision taken by the United States 40 years ago," said Varela.

The government of President Donald Trump called for consultations on August 7 to its business manager in Panama, Roxanne Cabral, and its ambassadors in the Dominican Republic, Robin Bernstein, and in El Salvador, Jean Manes, for the "recent decisions to avoid recognizing Taiwan in favor of China.

Panama broke diplomatic relations with Taiwan and established ties with China in June 2017, while the Dominican Republic and El Salvador did so in May and August of this year, respectively.

Varela said Trump's decision to call diplomats "are internal issues of the United States Government, which we respect" and said that the ties with China "will bring many benefits to Panama and will not affect relations with a strategic partner".

"Panama is a sovereign, neutral country that opens its doors and its canal to the world; the United States is the main user of the canal, China is the second and it is part of public life to make the right decisions for the benefit of the people," the president told journalists after participating in a hemispheric forum on sustainable development in Latin America.

The president explained that "all the products of China to the east coast of the United States" and "all the gas from the United States that goes to China" pass through the Panama Canal.

"Just as there were trade differences between Mexico and the United States, which were already resolved, and there were trade differences between the United States and Canada, which are going to be settled; if there are differences between the United States and China, it is their business," he added.

Taiwan is considered a sovereign territory with its own government and political system under the name of the Republic of China since the end of the civil war between nationalists and communists in 1949, but Beijing regards it as a rebel province and insists that it return to their homeland.

Taiwan is also one of the main reasons for the conflict between China and the United States, mainly because Washington is the main arms supplier in Taiwan and it would be its biggest military ally in the event of an armed conflict with China, in accordance with an agreement signed in 1979.

The Asian island has only 17 diplomatic allies in the world, of which nine are in Latin America and the Caribbean, including Nicaragua, Honduras and Guatemala.

 

https://www.panamatoday.com/panama/panama-denies-tensions-us-ties-china-7823

[Moderator_02]

Moderator comment: Terrible proofreading job in paragraphs five and six below, many typos.

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US diplomats discuss China regional investment risks

Posted on September 17, 2018 in Panama

 

Roxanne Cabral, 20-year career diplomat

Post Views: 220

 

Possible risks that Panama may face with the strengthening of Chinese investment in the region, and the low participation of American companies in public contracting acts in Panama were among the topics discussed by heads of mission of three US embassies recalled to Washington last week.

In an exclusive interview with  La Prensa, published on Monday, September  17, Roxanne Cabral, who has headed the US  Embassy in Panama  since former Ambassador John Feeley’s resignation  over disagreements with President Trump’s policies,said ” there is growing concern due to the tendency  in the region to change from Taiwan to Beijing”.

At the Washingon meetings alongside Cabral were the US Ambassadors to the Dominican Republic and El Salvador.

“The meetings,” said Cabral, “were with high-level personnel in the State Department, Congress, the White House, the Department of Justice and the Treasury Department  and several topics  touched on the influence of the Chinese investment in the region.”

The concern it is based on the fact that, when there are countries that do not have structures or well-established democratic institutions or lack transparency,  situations can develop that impact sustainable economic growth, prosperity or security in those countries, which could lead them to suffer implications that perhaps they did not foresee. For example, a debt greater than desirable or concessions not so beneficial.’”American concern about the growing Chinese investment in the region. In the case of

The United States  aspires to continue with the exchange of information and  We also seek to continue supporting the strengthening of democratic institutions, including civil society and governments and promoting transparency

Asked if there any concerns about the contracts awarded to Chinese companies Cabral said: “ Transparency is the key, and infrastructure contracts led by the governments of Panama, El Salvador and the Dominican Republic must be transparent. People should know the terms and conditions, the benefits, but they are sovereign decisions of the countries and it is up to them to achieve the conditions most favorable to their interests.”

 

https://www.newsroompanama.com/news/panama/us-diplomats-discuss-china-regional-investment-risks

[Keith Woolford]

The U.S. is threatening to rip up Visas of Central Americans who make business deals with China

The White House threatens to revoke the visa to politicians or businessmen (and their families) from the Central American region who have negotiated agreements in which corruption and / or criminal acts are identified. Without mentioning China, the United States expresses concern about the transparency with which the countries, which recently established diplomatic relations with the Asian giant, have signed treaties on different topics, according to a press release issued on the official website. of the American Embassy in El Salvador. 'Preventing and effectively combating corruption is essential to have strong and functional democracies throughout the Americas, and our embassy in San Salvador and others in the region will continue with that support and will continue to monitor the presumptions of illicit enrichment. Where corruption or other criminal acts are identified, the United States will consider canceling the visas of the persons involved and their relatives. '

In Panama, the government of Juan Carlos Varela signed 25 treaties with the People's Republic of China that include commercial topics, economic cooperation, government, electricity, among others. However, the North Americans have noticed in the region a disturbing tendency that indicates that, often, many of these transactions lack transparency and do not respond to the long-term interests in those countries, in addition to the presumption of illicit enrichment. Panama, El Salvador and the Dominican Republic broke relations with Taiwan and in the last year began diplomatic ties with the Republic of China, a country with which the United States maintains a trade war of unprecedented proportions. The rotation of the rudder of the aforementioned countries was accompanied, in the case of Panama, by the signing of multiple agreements. However, the United States mentions that as more countries in the region seek agreements and relationships with 'unknown partners, whose methods lack a positive record', they notice a disturbing trend about transactions that lack transparency. The embassy has not yet released the names of the people who will have their visa canceled, or of what nationalities they will be, but it indicates that they are countries in the region. The statement summarizes the results of the call to consultation made by the administration of Donald Trump to the ambassadors of his country in Panama, Roxanne Cabral; in the Dominican Republic, Robin Bernstein; and in El Salvador, Jean Mane, before the State Department in Washington that concluded on September 14. Diplomats also held meetings with the Department of Justice, the Treasury Department, the United States Congress and others to discuss the decisions taken by those countries to cut diplomatic relations with Taiwan.

In the press release it is specified that the commitments between these nations and China (without mentioning the country) have been closely monitored by the Americans, who warn about the presumption of illicit enrichment of some of its actors. The statement exposes the commitment of the North to continue supporting institutions and stable economies, provided they are carried out with transparency. It is the second time that this nation, which has been an ally of Panama for more than a century, is striking because of the lack of transparency in the agreements signed between Panama and China. Recently, USA questioned the content of 25 agreements signed between Panama and China. A day later, the Panamanian Government made public the agreements signed between both countries. Hand in hand with the claims to the Isthmus, the Chinese ambassador to Panama, Wei Qiang, criticized the US meddling. in Panamanian sovereignty. "The heads of mission that traveled to Washington offered a valuable perspective in the talks on how the United States can continue to support stable, independent and democratic institutions and economies in Central America and the Caribbean," the press release states. Similarly, adds the portal, the United States remains committed to supporting the efforts of its partners to promote transparency, the rule of law, economic growth and democratic values in the region and the world.

http://laestrella.com.pa/panama/nacional/estados-unidos-amenaza-retirar-visa-politicos/24084108?utm_term=Autofeed&utm_medium=Social&utm_source=Twitter#Echobox=1537524556

[Keith Woolford]

The comments made by Panamanian readers of this article reflect sentiments that the U.S. is being hypocritical and bullying in nature which fits with the State Department's new image.

Edited September 21, 2018 by Keith Woolford

[TwoSailors]

The comments made by Panamanian readers of this article reflect sentiments that the U.S. is being hypocritical and bullying in nature which fits with the State Department's new image.

Same image!

Nothing new about that!

[Moderator_02]

Moderator comment: Again, it appears to be a poor case of proofreading prior to publishing. I suspect this is not the complete news article, but it is all that is available.

 

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US visas at risk for corrupt deals

Posted on September 21, 2018 in Panama

Post Views: 313

 

The UNITED STATES threatens to revoke the visa to politicians or businessmen, and their families, from the Central American region who have negotiated agreements in which corruption and criminal acts are identified according to a notice on the website of the US embassy in El Salvador.

The US,  which recently called  to Washington  its heads of mission in Panama, El Salvador, and the Dominican Republic, after the three countries  established diplomatic relations with China has expressed concern about the  lack of  transparency over treaties that have been signed, with  China is aggressively pursuing  construction and investment in the region

Panama President Varela signed 25 treaties with the People’s Republic of China that include commercial topics, economic cooperation, and electricity, projects among others.

However reports La Estrella the North Americans have noticed in the region a disturbing tendency that indicates that, often, many transactions lack transparency and do not respond to the long-term interests of the countries, in addition to the presumption of illicit enrichment.

“Preventing and effectively combating corruption is essential to have strong and functional democracies throughout the Americas, and our embassy in San Salvador and others in the region … will continue to monitor the presumptions of illicit enrichment. Where corruption or other criminal acts are identified, the United States will consider canceling the visas of the persons involved and their relatives “says the embassy post.

the United States mentions that as more countries in the region seek agreements and relationships with “unknown partners” whose methods lack a positive record’, they notice a disturbing trend about transactions that lack transparency.

The statement summarizes the results of the call to  Washington consultation made by the Trump administration f on September 14.

T he Chinese ambassador to Panama, Wei Qiang, criticized the US “meddling”. in Panamanian sovereignty.

“The heads of mission that traveled to Washington offered a valuable perspective in the talks on how the United States can continue to support stable, independent and democratic institutions and economies in Central America and the Caribbean,”  says the US embassy portal.

“Similarly, , the United States remains committed to supporting the efforts of its partners to promote transparency, the rule of law, economic growth and democratic values in the region and the world

 

https://www.newsroompanama.com/news/panama/us-visas-at-risk-for-corrupt-deals

[Bud]

Just curious how this will play out for US citizens residing permanently in Panama. Will animosity increase? Hopefully not, but who knows for sure when it comes to these kinds of issues.

[Moderator_02]

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US visa statement sparks sovereignty debate

Posted on September 23, 2018 in Panama

Post Views: 253

 

The announcement by the United States that a visa could be revoked for Panamanian politicians or businessmen who have participated in non-transparent agreements or possible acts of was a foreseeable measure that has been used before   but is seen by some as a soft coup reports La Estrella.

Among those who lost visas are former President Ernesto Pérez Balladares, Marta Martinelli, wife of former President Ricardo Martinelli,  and Salomon Shama former tourism administrator although there is no accusation or a reason given why it was done.

some Panama commentators see the visa used as part of a strategy to pressure Panama over its relations with the government of  China but is welcomed by others.

“It is a practice of the Government of the US, based on its prerogative as a sovereign State. I hope they take it away from all the corrupt people here so they cannot go to Disney World, “said  Professor Carlos Guevara Mann, of Florida State University.

Euclides Tapia, professor of international relations at the University of Panama,  described it as a security issue adding that President Varela’s decision  to change the relationship with Taiwan  and sign agreements with China was pressured by certain economic groups, who  consider that  it was possible to open markets, “but things with China are not so transparent and this creates uncertainty. ” with the Asian

Meanwhile In the middle of the controversy over the siting of the China Embassy the internationalist Julio Yao points out that the  US Embassy, in Panama occupied 18 hectares  “the United Kingdom (2 hectares) and Mexico (3 hectares). “How is it explained that in Panama, which has only four million inhabitants, it has 18 hectares. Or does this confirm that we are an occupied  country or in a war zone?”

In his opinion, the fact that President Donald Trump is investigating Panama for multiple crimes, of a “moral, ethical and political order” interferes with the aspirations of the United States to establish itself as an “executive judge of the world and more so in Panama.

Yao warns that it is no coincidence that mention is made of a “supposed fight against corruption” in the case of Panama, as it is one of the forms of “soft coup” to which the United States can turn. Previously, they have implemented instruments such as the “Clinton List”

“The State Department is going to punish as corrupt the governments that, according to them, play into China, for a supposed lack of transparency,” he said and sees relations with China as a challenge, but also an opportunity.

 

https://www.newsroompanama.com/news/panama/us-visa-announcement-sparks-sovereignty-debate

[Keith Woolford]

One has to wonder what the heck they do in that massive building and it's 45 acres.

Canada's Embassy and Consulate in Panama uses about a half a floor of leased commercial office space, as does the U.K.'s.

Edited September 23, 2018 by Keith Woolford

[Brundageba]

The USA could donate it as a juvenile detention and vocational center and rent an efficiency for as much service as they are inclined to offer these days.

[Moderator_02]

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Secrecy and suspicion about the agreements signed between Panama and China

Mon, 10/08/2018 - 20:19

The lack of transparency in the relations between Panama and China has being questioned in many Panamanian and foreign sectors and is affecting the trade and diplomatic relations between the United States and Panama. Last week, the American giant accused China of interfering in the upcoming legislative elections with the result of a commercial and political war between the two titans.

In an exclusive interview for Panamatoday.com, we asked the former ambassador of the Organization of American States (OAS) in Panama, Guillermo Cochez, about his opinion about the government decisions, business and agreements with China and he shared with us his doubts and suspicions of those agreements that are being signed between both countries. Cochez has many questions and is very upset about the nature of the relations between China and Panama. "It is a unilateral decision, without any discussion, which was carried out by President Varela, without any consultation with the affected sectors. Suddenly we decided to break relations with Taiwan and take up relations with the Republic of China. I welcomed the measure because it shows that Panama is aligned with the most powerful countries in the world; however, the secrecy of the agreements signed with China, the appointment of a second cousin of the President in the Embassy of Panama in China and the decision that they had taken from giving four hectares in front of the Panama Canal to the embassy of the Republic of China means that we have a relation with China that is mismanaged".

The diplomat believes that the ignorance of the issues discussed in this relation could have a negative impact on the relations with the Americans, "the United States little cares what happens in Panama; it is only interested in the Canal, which is operational and so it works".

He also criticized that Panama did not demand from China before establishing relations the Asians signing of the Pact of Neutrality on the Panama Canal.

Panama and China will begin this Tuesday in Panama City the third round of negotiations for the signing of a free trade agreement (FTA), one year and four months after having entered into diplomatic relations. The Ministry of Commerce and Industry (MICI) of Panama explained today that the delegations of both countries will discuss during this new stage essential aspects such as trade barriers, customs procedures, intellectual property or electronic commerce.

 "We reached the third round after two intense rounds in which the negotiating teams have managed to agree on important aspects, both in form and substance," said Minister of Commerce and Industry Augusto Arosemena in a statement.

The governments of both countries officially launched negotiations on June 12 at a ceremony in Beijing, coinciding with the first anniversary of the establishment of diplomatic relations. Panama decided in June 2017 to break with Taiwan and recognize the principle of "one China" , thus becoming the second Central American country, after Costa Rica, to establish diplomatic relations with the Asian giant. The diplomatic turn of Panama and other countries in the region, such as the Dominican Republic and El Salvador, caused the government of US President Donald Trump to call his diplomatic representatives in those countries for consultations on August 7. He accused that Beijing is trying to interfere in the legislative elections next month, and declared that "what the Russians intervention was nothing in comparison" with the Chinese intervention in the political system of the North American country. "The American vice president regretted that the Party The Chinese Communist Party has "convinced Panama, the Dominican Republic and El Salvador" to "break ties with Taipei and recognize Beijing, which threatens the stability of the Taiwan Strait, and the United States condemns them," he added.

Last year, Panama imported goods and services from China worth 1,344 million dollars and exported products worth 42.6 million dollars, including coffee, cattle skins and fishmeal, according to official data.

The Asian country is the first supplier of the Colon Free Zone, the largest free zone in the hemisphere, located in the Panamanian Caribbean, andthe second most important user of the Panama Canal, through which passes about 6 percent of world trade, after the United States.

 

https://www.panamatoday.com/panama/secrecy-and-suspicion-about-agreements-signed-between-panama-and-china-8040

[Moderator_02]

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Panama is been evaluated by US for the lack of transparency with China relations

Wed, 10/10/2018 - 19:56

 As a result of the conflicts arisen in many sectors of the Panamanian community and the lack of transparency in Panama-China negotiations, in an exclusive interview with Panamatoday.com, lawyer Sidney Sittón expressed his opinion and concern about this matter. Previously a year ago, the lawyer reported us a series of unlawful businesses and money deposited in banks in China from Odebrecht, when the scandal of the construction company broke out worldwide and the plot became public. He denounced that there were some businesses outside the law between members of the Panamanian government in  the Asian giant land. Sittón said, "as you can remember in your newpaper’s interview and the documents that I submitted you a year ago , here is the link to the exclusive interview https://www.panamatoday.com/panama/exclusive-sitton-here-you-have-odebrecht-documents-4541 I presented and denounced  in the public prosecutor's office all the accounts that were opened with Odebrecht money in Hong Kong, all the payments made to various factories in China. I also sent those documents to the United States government ; at that time I knew that the public prosecutor's office was not going to do an honest investigation and that is why I sent those documents to the United States because I had all the information and  because the accounts that were opened there involved Odebrecht's money".

In the words of the lawyer, "At this moment Panama along with other countries is being  evaluated by the United States because they said that relations between Panama and China are not transparent, which means that there has been some money involved in it and the Salvadorian ambassador said that not only the removal of visas from Salvadoran officials are being revised , but also other governments that include the Republic of Panama. You have a very dramatic situation. So far I do believe that there will be a firm position set by the US government regarding the evaluation of the removal of  the visa to those people from these governments, including Panama and their families. To me it is a matter of time, for these visas to be removed ."

Meanwhile, the former Ambassador Guillermo Cochez, also claimed the secrecy and lack of transparency of the negotiations between President Juan Carlos Varela and China. "It is a unilateral decision, without any discussion, which was carried out by President Varela, without any consultation with the affected sectors. The secrecy of the agreements signed with China, the president's isolation concerning this problem, the appointment of a second cousin of the President in the Embassy of Panama in China and the decision he had taken to give four hectares in front of the Panama Canal to the embassy of the Republic of China, the first thing the ships were going to see when entering the Pacific was the Chinese flag, because we knocked it down. All that means that we have a relation with China that is being very badly handled," he said in a very worried tone. See the full interview at https://www.panamatoday.com/panama/secrecy-and-suspicion-about-agreements-signed-between-panama-and-china-8040

Meanwhile, in Panama, the third round of negotiations for an FTAA that includes aspects such as barriers to trade, customs procedures, intellectual property or electronic commerce, is part of the negotiation agenda that began on Tuesday, informed the Ministry of Commerce and Industry (Mici) of Panama. In the second round, which concluded in Beijing on August 28 after four days, the parties agreed that Panama can withdraw any Chinese product that does not comply with its sanitary regulations from its market. The (Mici) then informed that the parties had not yet reached an agreement on the so-called "trade defense measures", whose main objective is to protect the Panamanian market against low-cost imports, and have not agreed on specific products will they have access to markets in each country, the source said in a statement.

The governments of both countries officially launched negotiations on June 12 at a ceremony in Beijing, coinciding with the first anniversary of the establishment of diplomatic relations. Last year, Panama imported goods and services from China worth 1,344 million dollars and exported products worth 42.6 million dollars, including coffee, cattle skins and fishmeal, according to official data.

The Asian country is the first supplier of the Colon Free Zone, the largest free zone in the hemisphere, located in the Panamanian Caribbean, and the second most important user of the Panama Canal, through which about 6 percent of trade world passes, after the United States.

In turn, the fact of Panama's new relations with China are influencing relations with the United States, which is in a trade war with China due to the increase in tariffs and the intrusion (worse than the Russian intrusion) in the next American legislative elections. Since September 24, the American government has imposed tariffs of 10% worth 200,000 million dollars to Chinese products, which has been the third round of sanctions imposed by Washington on the Asian giant to which the Chinese government responded to that measure by applying liens of 60,000 million dollars to US agricultural products. The first battery of sanctions by the Government was applied in July and meant a levy on Chinese imports (the majority of the technological sector) for 34,000 million dollars, while the second one was 16,000 million dollars.

 

https://www.panamatoday.com/panama/panama-been-evaluated-us-lack-transparency-china-relations-8064

 

[Moderator_02]

Quote

China's plans in Central America

The FTA with Panama and the agreement with El Salvador, both in the negotiation stage, are part of the commercial opportunities that the Asian nation seeks to consolidate in the region in the short-term.

Tuesday, October 9, 2018

The third round of negotiations to conclude the trade agreement between the Central American country and the Asian nation began in Panama City. This session will deal with trade barriers, customs procedures and trade facilitation.

You may be interested in "China - Panama FTA Negotiations Move Forward"

In addition to the negotiations for the signing of a Free Trade Agreement, the advances that both countries have made in the tourism sector are added, since some months ago China authorized 64 Panamanian tour operators to start offering group tours of Chinese tourists to Panama on August 15th.

Another country which seeks to establish trade relations with China is El Salvador. In this case, it was reported weeks ago that the Central American country's diplomatic relations with the Republic of Taiwan have been disrupted and the negotiations for the signing of trade agreements with the Asian nation have begun.

See "Differences in El Salvador - China Trade Relationship"

El Salvador and China have already held their first working session, in which the relationship of trade and cooperation between the two nations began to be defined.

Read full article (In Spanish).

 

https://www.centralamericadata.com/en/article/main/Chinas_plans_in_Central_America

[Keith Woolford]

U.S. Secretary of State Mike Pompeo suggested on Friday that China is bribing senior leaders in Panama.

"SECRETARY POMPEO: I think if you go look at President Xi’s stated intentions, you can clearly see that China has a plan that is different than the one that they had five years ago or even two or three years ago. You see this in their ability to use their money around the world. And I’ve spoken to this. I spoke to it when I was in Panama and I travel the world. I remind countries we welcome commercial competition with China on a fair and reciprocal basis, but when China shows up with bribes to senior leaders in countries in exchange for infrastructure projects that will harm the people of that nation, then this idea of a treasury-run empire build is something that I think would be bad for each of those countries and certainly presents risk to American interests, and we intend to oppose them at every turn."

https://www.state.gov/secretary/remarks/2018/10/286926.htm

Edited October 28, 2018 by Keith Woolford