*The US embassy in Panama has announced that the US government led by President
Donald Trump will replace the telecommunications equipment of Chinese company Huawei installed at 13 sites across Panama with “
secure American technology” as part of efforts to counter Chinese influence in the region. According to a US embassy press release, the US$8m US-funded project, which is being carried out in partnership with Panama’s public security ministry, will also add seven new communications towers in four provinces, which will significantly expand coverage. According to the US embassy, once the project is completed in approximately two years’ time, Panama’s security forces “
will be able to control and manage their own telecommunications systems – strengthening shared security and the U.S.-Panama partnership”. The announcement comes as the Trump administration
has threatened to reclaim the Panama Canal, citing Chinese interference. This prompted the Panamanian government led by President
José Raúl Mulino to announce it was
terminating its involvement in the Belt and Road Initiative (BRI), China’s flagship infrastructure programme, while in March a deal
was announced regarding the sale by Hong Kong-based, and ultimately China-controlled, holding company CK Hutchison of its stake in two key Panamanian ports to a conglomerate led by US investment firm BlackRock.
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