Chuck Holton
Politics • Culture • News
Interesting New Information about Chinese Meddling in Panama
And Marco Rubio Headed to Panama on First Overseas Trip
January 22, 2025
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Chinese Flag Flies over Ship Transiting the Panama Canal

The Panama Canal is back in the spotlight, and for good reason. This vital link between the Atlantic and Pacific Oceans has become a focal point of geopolitical tensions, with the United States stepping up its involvement. Recently, sources close to U.S. intelligence revealed China’s growing interest in Panama, which has prompted the U.S. to declare the Canal a matter of "national security."

China’s Game-Changing Proposal

Here’s the deal that’s turning heads: China has reportedly offered Panama an ambitious package that includes:

 

 

  1. Paying 50% of Panama’s national debt, which currently stands at $54 billion.
  2. Building a railway connecting Panama City to Chiriquí, boosting infrastructure and economic growth.

China also requested that the Panama Canal allow transactions in currencies of BRICS nations—Brazil, Russia, India, China, and South Africa—instead of exclusively using the U.S. dollar. If Panama accepts, this could weaken the dollar’s dominance and reshape global trade.

This proposal aligns with BRICS’ broader strategy of reducing reliance on the dollar, positioning the Canal as a key piece in China’s economic playbook.

Enter Marco Rubio

Adding to the intrigue, U.S. Secretary of State Marco Rubio is planning a visit to Panama as part of his first official foreign trip, which will also include Guatemala, El Salvador, Costa Rica, and the Dominican Republic. According to U.S. officials, the trip is tentatively scheduled for late January to early February.

Rubio’s agenda is expected to focus on two main issues tied to the MAGA foreign policy platform:

  1. Curtailing illegal migration through collaboration with countries in the Western Hemisphere.
  2. Reinforcing U.S. claims over the Panama Canal, following former President Donald Trump’s assertion that the U.S. should “reclaim” the strategically crucial waterway.

Panama’s leadership has strongly rejected Trump’s remarks. Speaking at the World Economic Forum in Davos, President José Raúl Mulino stated,
“The Panama Canal belongs to Panama and will continue to belong to Panama. The Panama Canal is not a concession or a gift from the United States.”

Rubio’s visit will undoubtedly be watched closely, not just for its implications on the Canal but also for its focus on migration, a priority he highlighted in a recent memo to State Department employees. He called mass migration “among the most consequential issues of our time” and pledged to negotiate agreements to repatriate illegal immigrants.

Why the U.S. Cares So Much

 

The U.S. has a lot at stake when it comes to the Panama Canal, and it’s not just about keeping trade routes open. The financial implications of Panama stopping its exclusive use of the U.S. dollar for Canal transactions—and allowing payments in BRICS currencies instead—could be devastating for the United States.

Here’s why: the U.S. dollar is the world’s primary reserve currency, meaning most global trade and international financial transactions rely on it. This status gives the U.S. enormous economic advantages, including lower borrowing costs, strong influence over global markets, and the ability to impose effective sanctions.

If Panama acceded to China’s request and began accepting BRICS currencies like the Chinese yuan or Russian ruble, it would weaken the dollar’s dominance in global trade. This could trigger a domino effect, encouraging other countries and major international trade hubs to follow suit. Over time, the dollar’s role as the cornerstone of the global financial system could erode, undermining U.S. economic power and destabilizing its ability to manage debt.

For the U.S., losing the Panama Canal as a bastion of dollar-based trade wouldn’t just be a symbolic blow—it would be a tangible threat to its economic security. A shift toward BRICS currencies would empower competing nations like China and Russia, allowing them to grow their influence while diminishing Washington’s leverage on the global stage.

This is why the U.S. sees China’s proposal to Panama as a red flag. It’s not just about keeping control of a strategic waterway—it’s about safeguarding the foundation of America’s economic might. The Canal has always been a crucial link for trade, but in this context, it’s also a battleground for the future of global finance. The stakes couldn’t be higher.

The Big Picture

As Panama balances its sovereignty with growing international pressures, the future of the Canal hangs in the balance. For now, all eyes are on Rubio’s upcoming visit and how it will shape U.S. policy in the region. One thing is certain: the Panama Canal is once again proving its immense importance on the global stage.

 

 

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Gaza Base Rumors & a White House Shock: What Trump’s Meeting with Syria’s New Leader Really Signals

A lot came fast in the last 48 hours: reports that Washington may stage a stabilization force on Israel’s side of the Gaza border, and a first-ever White House meeting between President Donald Trump and Syria’s transitional leader, Ahmed al-Sharaa—an ex-jihadist commander turned head of state. Let’s separate noise from signal.

“We’re not putting American brigades in Gaza. The idea on the table is a staging site inside Israel to support a multinational peace force—if, and only if, the political conditions exist.”
—Senior U.S. official, background brief, summarized from regional reporting. 

1) Is the U.S. building a base near Gaza?

Multiple Israeli outlets report Washington is exploring a large facility on Israeli soil adjacent to Gaza to support an international stabilization force once Hamas is out of governance. Early estimates: several thousand personnel with an operating bill around $500 million and a mission centered on staging, training, logistics, and coordination—not a big American garrison living inside the Strip. Key detail: Israel would retain a veto over which nations participate (for example, Ankara’s involvement has been described as a non-starter by Israeli officials).

What this would and wouldn’t mean

  • Not “boots in Gaza.” The concept situates the facility inside Israel, reducing exposure and leveraging Israeli infrastructure (water, power, secure roads). 

  • International force, U.S.-led coordination. Think liaison-heavy oversight and contractors, not 10–20k U.S. soldiers camping on the fence. 

My read: If a force is truly coming, staging it in Israel is the least-bad logistics and security choice. But the U.S. should condition any shovels in the ground on: a firm political framework, Israeli veto authority, strict financial oversight, and hard exit criteria.

“A base near Gaza would mark a shift for Israel, which has typically resisted international security footprints around the Strip.” 

2) Trump’s Oval Office with Ahmed al-Sharaa: optics vs. strategy

President Trump welcomed Ahmed al-Sharaa—the Islamist rebel chief whose coalition toppled Bashar al-Assad in late 2024 and now leads Syria’s transitional government—in a first-of-its-kind White House meeting. The session focused on counter-ISIS cooperation, normalization steps, and sanctions relief. 

“Today we turn a page. Syria will join the fight to finally extinguish ISIS, and we’ll work with the United States to stabilize our country.”
—Ahmed al-Sharaa, remarks around the visit, as reported by major outlets.

Sanctions: what actually changed?
Washington announced a 180-day partial suspension of Caesar Act sanctions—an extension of earlier limited waivers—to test cooperation while keeping leverage. A full repeal remains a congressional decision. 

“The suspension of Caesar Act provisions supports Syria’s economic recovery while preserving accountability tools.”
—U.S. government guidance on the new relief. 

Why this matters:

  • Counter-ISIS math: The U.S. wants to crush ISIS remnants without surging U.S. troops. Al-Sharaa’s forces have been raiding ISIS cells nationwide; Washington is testing whether that can scale with joint targeting and intel sharing. 

  • The risk: We’ve played “enemy-of-my-enemy” before. Tactical wins can mint tomorrow’s adversary. Guardrails—snapback sanctions, human-rights baselines, and verifiable counter-terror deliverables—are non-negotiable.

3) The detainee powder keg the world keeps ignoring

The ISIS detainee and displaced-person complex in northeast Syria remains a strategic time bomb. The Al-Hol and related camps still hold tens of thousands, including ~9–10k adult males under detention and many foreign nationals. U.S. commanders warn the sites remain radicalization incubators and breakout targets, urging rapid repatriation and adjudication

“Repatriating vulnerable populations before they are radicalized is not just compassion—it’s a decisive blow against ISIS’s ability to regenerate.”
—U.S. Central Command statement. 

If the U.S. is going to empower Damascus against ISIS, then the deal must include:

  1. A concrete detainee plan (due process or transfer to secure, internationally supervised facilities),

  2. Verified persecution safeguards for minorities, and

  3. Independent monitoring tied to sanctions snapback.

4) So where does this leave us?

  • A Gaza-adjacent staging base is being explored—not green-lit—and only makes sense with clear political conditions, Israeli veto power, and airtight oversight. 

  • The Trump–al-Sharaa meeting marks a strategic gamble: squeeze ISIS using new Syrian partners while keeping Washington’s hand on the sanctions lever. The test is whether Damascus can deliver sustained counter-ISIS results without reverting to old habits. 

“Short-term, this could accelerate ISIS’s defeat; long-term, it will only work if the guardrails hold.”

 

Sources for further reading

  • AP: Trump hosts Syria’s al-Sharaa for a first-of-its-kind meeting. AP News

  • The Guardian: US declares partial suspension of sanctions after historic meeting. The Guardian

  • Times of Israel liveblog: US said planning major base near Gaza (est. $500M, several thousand troops). The Times of Israel

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Trinidad on the Edge: Currents, Cartels & Crossfire

Reporting from Trinidad—seven miles of chop across from Venezuela. I spent yesterday on the north coast talking to fishermen, watching the swells and the sky, and listening for the low thrum of outboards in the dark. The unofficial conflict in the Caribbean isn’t “upcoming.” It’s here. And the people who feel it first are the ones who put to sea before sunrise.

One veteran fisherman summed up the mood: “Everyone’s panicking. But the currents run west. If boats are getting hit out there, they’re not washing up on Trinidad.” He’s right about the physics—and he’s right about the fear. When your livelihood depends on a skiff and a single engine, rumors travel faster than weather.

This is what’s changed: U.S. and regional forces are aggressively interdicting multi-engine go-fasts—boats that don’t fish, don’t loiter, and don’t make economic sense unless you’re hauling contraband. Fishermen here run one, maybe two motors; the boats being blown apart offshore carry four or five. That isn’t artisanal fishing; that’s a business model built on outrunning law enforcement.

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At the same time, Caracas is hosting foreign hardware and foreign interests, making this coastline a laboratory for great-power probing: air defenses versus fifth-gen aircraft, sensors versus small craft, and the propaganda value of every explosion caught on a cellphone.

What’s Signal, What’s Noise

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  • Signal: Regional governments are split. Some denounce “U.S. aggression”; others quietly welcome the pressure on smuggling routes that poison their own communities.

  • Noise: Viral claims that “fishing boats” are being targeted around Trinidad. The profiles don’t match, and the west-running currents make the most dramatic wash-ashore stories physically unlikely.

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For Trinidadians, the path forward is practical: clear, public comms from Port of Spain, tight rules for small-craft lanes, and steady coordination with allies so legitimate boats aren’t left guessing. For Venezuelans who want their country back: hold fast. When criminal economies lose their sea lanes, regimes that rely on them get brittle—fast.

A Word on Perspective

I’ve covered wars and disasters for more than two decades. The pattern is familiar: chaos at the edges before clarity at the center. Don’t mistake noise for narrative. Boats with five outboards aren’t chasing tuna. And caution tape on the shoreline doesn’t mean the fishermen are the enemy.

Bottom line: The Caribbean is no longer a backwater. It’s a contested space where currents, cartels, and great-power probes meet. Trinidad sits on the seam. We’ll keep reporting from the waterline.

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