North Koreans give missiles to Russians in Ukraine.

0:00 Speaker 1 Sunday morning. Well, we’re catching up. What the heck is going on Panama? Well, stept Terry Rubio was there, and right now China is mad as heck? And who is the expert? Well, we have with us, Gordon g Chang and Gordon. How mad is China?

0:22 Speaker 2 China is furious because they felt that we interfered in China’s relationship with Panama. When Secretary Rubio was in Panama, he convinced the President Melino to not renew Panama’s Belton Road Memorandum with China, and in fact, Melino hinted that he might terminate the existing agreement, which was signed in twenty seventeen before his expiration. Now, China has had a

0:51 free run of the Western Hemisphere. The US has done very little to oppose Chinese control of societies in our own own backyard. And indeed, we actually helped China enter into the Western Hemisphere in the thought that maybe China could be a constructive force. Obviously it’s not, and the US is now opposed to China’s initiatives and control of

1:16 countries in the region.

1:19 Speaker 1 Understood, So when do you think that China is actually going to give up US? And at what point, Well, they’re certainly not going to give up control, and this is going to be a long struggle. The next battle in Panama will be over those two ports that China controls, one in Crystabaul on the Atlantic side, the other at

1:44 Balboa on the Pacific side. These are run by Hutchison, which is a publicly owned Hong Kong company, but they are in the People’s Republic of China, which means that they cannot disobey an order from the Communist Party. And so we feel that those two ports, in addition to China’s other involvement in the Canal zone, gives Beijing the

2:06 ability to close off the canal when it wants to, and that, of course, is unacceptable. What’s going to happen, John, I think is that the United States is going to pressure Panama to rebid those two ports. Those two port franchises were extended in twenty twenty one for twenty five years with a no bid contract, and that should not

2:29 have occurred. Those contracts should have been bid, and I think the United States is going to get Panama to rebid those two port franchises. Understood, and the fact is so does the United States want to operate themselves or let me ask you a different question, is potential that ten percent paraff on China? Is it just a negotiating

2:59 ploy he did with the Mexico and like he did with the Canada.

3:05 Speaker 2 Yeah, I don’t know what President Trump was thinking. He probably wants some sort of grand bargain with China, as he’s indicated and other times. So yes, any action he takes against China could very well be part of his bargaining strategy. But China didn’t play a long When President Trump Saturday ago announced tariffs on Canada, Mexico, and China,

3:30 the Canadians and the Mexicans quickly came to terms with President Trump to secure the borders. Now you know, China didn’t do that. China imposed tariffs on his own, announced last Tuesday. They go into effect tomorrow unless Beijing decides to back down. I’m guessing, and this is just a guess, but I’m guessing that China’s not going to back down,

3:56 at least for a little while.

3:59 Speaker 1 That’s it. Well, what else would you like to talk about on a Sunday morning? I mean, we’re all scratching on head wondering what’s next.

4:08 Speaker 2 Yeah, well, what’s important I think is that Secretary of State Rubio he not only went to Panama, he went to three other Central American countries in one in the Caribbean. And that’s a real indication that the United States is turning its foreign policy focus away from far away lands to our own hemisphere. And that’s a good thing because

4:31 if we’re going to be able to confront China, Russia and others, we’ve got to be secure in our own borders, and we’re not at this point. And those four other countries that Rubio went to, by the way, they’re all part of CALF to DR which is our free trade agreement with the region, and that’s a good thing because

4:52 if we can encourage factories to move to Cafe to d R countries, we can sort of lessen our dependence on China. We can bolster these societies, which means they won’t be sending people in caravans to our southern border.

5:06 And this is a real win for the United States. So I’m very happy that Secretary of State Rubio’s first trip as America’s top diplomat was to our own region.

5:18 Speaker 1 Got it well, Gordon Chang, thank you for an update, and everybody can always find out what Gordon Chang is thinking. Gordon on his Twitter at Gordon g Tang and he’s available twenty four seven a week. And thank you Gordon for what you do for America.

5:41 Speaker 2 Well, thank you John for what you do, because what you do is so critically important, so I very much appreciate being on your show.