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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We just wrapped up an incredible week in Panama with a group of Hot Zonians. It was a powerful time of connection, faith, and adventure.

We are excited to announce new dates for our next Panama Tour: October 14 through 19, 2027!

This is a rare opportunity to step away from the noise and spend intentional time with Chuck in a relaxed, small group setting. This is not a packed, exhausting trip. It is designed for real connection, meaningful conversations, and experiencing Panama at a pace that allows you to truly take it in.

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We embrace servanthood because we were saved by the Greatest Servant. Therefore, to be His disciple, we must be willing to humble ourselves, and learn from Him how to serve and love like Him (Matthew 11:29). Living entirely for our heavenly Father's will and glory, as our Lord Jesus did, when He physically walked this planet.

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So let me ask you this… what do YOU want to ask Chuck? What’s been on your mind after these last few episodes? What do you want clarity on? What are you not hearing answered anywhere else?

Drop your questions in the comments here or go back to the original post and add them there.

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This War Isn’t Slowing Down—And That Changes Everything

In a recent briefing, President Donald Trump made something unmistakably clear: this war is not operating on a timeline, and it is not approaching a natural pause. Instead, it is accelerating in both scope and intensity, moving beyond limited strikes into a sustained campaign that is beginning to reshape the strategic landscape of the Middle East in real time.

That reality alone should force a reassessment of how this conflict is being understood, because what may have initially appeared to be a short, decisive military operation is now evolving into something far more complex, with consequences that extend well beyond the immediate battlefield.

From Targeted Strikes to Sustained Pressure

The early phase of the war was defined by overwhelming force, as the United States and its allies executed a series of large-scale precision strikes against Iranian military infrastructure. Thousands of targets were hit, including missile systems, naval assets, and weapons production facilities, resulting in the significant degradation of Iran’s conventional military capabilities.

In addition to the air campaign, the United States implemented a sweeping naval blockade designed to isolate Iran economically and militarily, effectively placing the entirety of its coastline under surveillance and control.

At first glance, these actions created the impression of a decisive and controlled campaign, one in which the outcome seemed largely predetermined by the imbalance of military power.

But wars are rarely decided in their opening phase.

A War That Has Moved to the Sea

What has emerged more recently—and what the latest developments highlight—is a shift toward a more dangerous and unpredictable phase centered on maritime conflict.

The Strait of Hormuz, one of the most strategically critical waterways in the world, has become a focal point of confrontation, with Iranian forces targeting commercial vessels and attempting to disrupt global shipping lanes. In response, the United States has escalated its posture, ordering naval forces to take direct and lethal action against Iranian boats engaged in mine-laying operations.

This directive represents more than a tactical adjustment; it signals a transition into a more aggressive and persistent form of engagement, one that increases the likelihood of miscalculation and rapid escalation.

The presence of multiple U.S. warships, aircraft, and mine-clearing operations in the region underscores the seriousness of the situation, as does the growing number of incidents involving attacks on commercial shipping.

What is unfolding in the Strait is not a sideshow—it is a central front in a conflict that now directly impacts global trade and energy markets.

Why Dominance Does Not Equal Resolution

Despite the clear military advantage held by the United States, there are signs that the conflict is entering a phase where superiority alone may not be enough to achieve a decisive outcome.

Iran’s naval capabilities have been severely degraded, and a large portion of its military infrastructure has been damaged or destroyed.

And yet, the continued ability of Iranian forces to disrupt shipping, deploy mines, and conduct asymmetric attacks reveals a deeper truth about modern warfare: even a weakened adversary can remain dangerous when it adapts its strategy.

This is particularly evident in the use of small, fast-attack boats and decentralized tactics, which allow Iran to operate in ways that are difficult to fully counter through conventional means.

In other words, the battlefield has shifted from one of direct confrontation to one of persistent disruption.

The Strategic Stakes Are Global

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The War Is Expanding in Ways Most People Still Don’t Understand

When you look at a war from a distance, it often appears as a series of disconnected events—headlines that flare up for a moment before being replaced by the next crisis—but when you step closer, when you begin to follow the patterns instead of the noise, you start to see something else entirely taking shape.

That’s where we are right now.

Natanz (satellite view)
Natanz (satellite view)

 

Because what’s happening in the Middle East is no longer just a regional conflict or a contained military campaign; it is evolving into something broader, something more complex, and something that carries consequences far beyond the battlefield itself.

And yet, much of the world still hasn’t caught up to that reality.

 

A Campaign That Looks Decisive—On the Surface

From a strictly military perspective, the United States and its allies have demonstrated overwhelming capability in the early phase of this conflict, applying sustained pressure across multiple domains in a way that has steadily degraded Iran’s ability to operate as it once did.

Precision strikes have targeted key infrastructure, weapons systems, and logistical networks, while naval and air forces have established a level of dominance that allows for continued operations with relatively limited resistance.

In the span of weeks, thousands of targets have been hit, and the cumulative effect of those strikes is beginning to show, not just in the reduction of missile and drone activity, but in the overall tempo of Iran’s response.

There are fewer launches, fewer coordinated attacks, and more signs that the system is being strained.

From the outside, it looks like momentum is clearly on one side.

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The Reality Beneath the Surface

Wars are rarely decided by what happens in the opening phase, and they are almost never as simple as they appear in the early days when one side seems to hold a decisive advantage.

Because beneath the visible structures—the bases, the launchers, the facilities—there exists a deeper layer of power that is far more difficult to dismantle.

In Iran’s case, that layer is not confined to a single institution or location; it is distributed across a network of political, military, and economic forces that are designed to function even under extreme pressure.

The clerical leadership provides ideological continuity, the civilian government maintains a façade of governance, and the Islamic Revolutionary Guard Corps operates as the backbone of real authority, controlling not only military assets but significant portions of the country’s economic infrastructure.

This is not a system that collapses simply because key targets are destroyed. It adapts. It absorbs damage. And it continues.

 

Why Air Power Has Limits

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