Panama removes Chinese monument near canal as tensions rise

Monday 29 December 2025 - 09:50

By: Dakir Madiha

Panama removes Chinese monument near canal as tensions rise

A monument honoring China’s historical presence in Panama and its contribution to the construction of the canal has been demolished, igniting a diplomatic dispute and domestic backlash in the Central American nation. The removal of the structure occurred late Saturday near the Pacific entrance of the Panama Canal, at the Mirador de Las Américas park, under orders from the Arraiján municipality.

The monument, composed of an Eastern-style arch and obelisk, was inaugurated in 2004 to mark the 150th anniversary of the Chinese community’s arrival in Panama. Local authorities justified the demolition by citing structural risks and the expiration of a 20-year concession. However, President José Raúl Mulino dismissed the explanation as baseless, condemning the act as “an unforgivable act of irrationality.” Former presidents and political figures echoed his criticism, questioning why the demolition occurred at night and during the holiday period.

The Chinese embassy in Panama described the event as “deeply painful,” calling it an affront to the legacy of the more than 300,000 citizens of Chinese descent living in the country. Ambassador Xu Xueyuan demanded an official investigation and accountability for those responsible, labeling the decision as both “illegal and disrespectful.”

The incident comes amid renewed geopolitical friction surrounding the Panama Canal, a vital maritime route for global trade. The United States and China remain locked in a struggle for influence in Latin America, and the canal has become a symbolic focal point of that rivalry. In recent months, discussions over Chinese investment and port operations linked to the canal have drawn growing scrutiny from Washington.

President Mulino has sought to de-escalate the situation by offering to relocate the monument, emphasizing that Panama values its long-standing cultural and economic relationship with China. But the episode has exposed internal divisions and underscored the complex balancing act facing Panama as it navigates between two major world powers.