In a significant move amid rising US-China tensions over Latin America, Panama has withdrawn from China’s Belt and Road Initiative (BRI). The decision makes Panama the second country to pull out, following Italy’s exit in December 2023.
The withdrawal comes on the heels of a visit to the region by new US Secretary of State Marco Rubio in early February, underscoring the increasing strategic contest between Washington and Beijing in Latin America—a region long considered the United States’ backyard.
As Panama forges its own path, questions are mounting over whether another Latin American nation might soon follow suit, signaling further shifts in the geopolitical landscape of the region.