Kevin Cabrera, President Donald Trump’s nomination as the next U.S. ambassador to Panama, said Tuesday during his confirmation hearing in Congress that China’s influence in Panama extends beyond the canal’s ports.
Cabrera explained to Congress that China exerts influence in Panama’s higher education system through Confucius Institute agreements that China signed with all five local universities. Confucius Institutes are academic organizations entirely controlled by the Chinese regime that spread communist ideology and propaganda to teachers and students at international universities.
The first such Confucius Institute in Panama was inaugurated in June 2018 during the administration of former Panamanian President Juan Carlos Varela — one year after the Central American nation cut ties with Taiwan and simultaneously embraced the Chinese Communist Party’s “One-China Principle,” which states that there is only one China in the world and Taiwan is a “province” of China.
Additionally, Cabrera detailed that China has inked agreements with Panama’s State Radio and Television System (SERTV), pointing out that the state media system “definitely never criticizes China.”
“But again, I think that the Chinese influence is not just in the canal. It’s also in other areas. I know that they have memorandums of understanding with all five public universities in Panama for Confucius centers,” Cabrera said. “And they also have a relationship with the local government-owned TV, SERTV, where they provide information, which many times is put in an uncritical, it definitely never criticizes China, what goes on, the information they pass along.”
Cabrera told Congress that, if confirmed as ambassador, he will work alongside President Donald Trump, Secretary of State Marco Rubio, and members of the House Foreign Relations Committee to continue to diminish Chinese influence in Panama while providing opportunities for American investment in the Central American nation.
Additionally, Cabrera expressed his concern on the use of Chinese technology used in Panamanian infrastructure and listed the implementation of Chinese-made security cameras in the city of north-central city of Colón — where the Atlantic Ocean entrance to the Panama Canal is located — and the use of Chinese-made cranes in Colón’s port of Manzanillo, operated by a subsidiary of the Washington-based Carrix marine terminal and rail yard operators company. Cabrella stressed that the use of Chinese cameras and equipment could compromise cybersecurity and access to sensitive information.
“We have seen how Chinese state-owned companies can bid significantly lower prices in tenders to ensure that governments buy their technology, Cabrera reportedly said. “This raises questions about who controls the information and whether these infrastructures can be manipulated.”
President Trump started an ongoing debate over the Panama Canal in December after he expressed that the United States should take back control of the Canal due to the “exorbitant” transit fees imposed on U.S. ships and because of the growing influence of China in the important trade route.
Control of the Panama Canal, which the United States built, was handed over to Panama in 1999 as per the terms of an agreement signed by both nations in 1977 during the administration of former U.S. President Jimmy Carter.
Over the past months, President Mulino, officials from the Panama Canal Authority, and other Panamanian government authorities have repeatedly refuted President Trump’s claims and denied any Chinese influence in the Canal. Mulino has also insisted that his administration will not engage in any talks with the United States pertaining to the control of the Panama Canal.
Cabrera stressed to Congress that both President Trump and Secretary Rubio have identified possible violations of Article IV of the 1977 Panama Canal Neutrality Treaty signed by former Presidents Jimmy Carter and Omar Torrijos, which states that the U.S. and Panama agree to maintain a regime of neutrality in the Panama Canal so that it remain “permanently neutral.”
Cabrera identified the Hong Kong-based CK Hutchison Holdings Limited’s sale to BlackRock of its subsidiary that currently operates two ports at the Panama Canal as a positive step in reducing Chinese influence in the country. Bloomberg reported on Wednesday morning that despite China’s “anger” over the transaction, CK Hutchison Holdings Limited’s sale of the two Panama Canal ports to BlackRock is “moving ahead as scheduled.”
Christian K. Caruzo is a Venezuelan writer and documents life under socialism. You can follow him on Twitter here.
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