Taiwan isolation pays off for Panama as China opens free trade talks
Central American country seeks to become China’s gateway to the region, a year after it severed ties with Taipei and established relations with Beijing
Officials from Panama and China are meeting in the opening round of talks to reach a free-trade agreement, one year after the two countries established diplomatic relations.
The talks started on Monday in Panama City and are expected to last until Friday.
Panama’s commerce minister has said his country hopes to become the point of entry for Chinese investments and products for the region.
Augusto Arosemena said that would be a fundamental part of the talks. China is the second-largest user of the Panama Canal after the United States.
Panama dropped relations with Taiwan and established relations with Beijing in June last year.
Panamanian President Juan Carlos Varela said in November his country’s decision to shift diplomatic ties from Taipei to Beijing could be a model for other countries but would not affect its relations with Washington.