Former U.S. President Donald Trump scored a significant geopolitical victory as Panama announced its departure from China’s Belt and Road Initiative (BRI). The decision marks a shift in the Central American nation's foreign policy, reflecting growing concerns over China’s expanding influence in the region. This move aligns with Washington’s long-standing efforts to counter Beijing’s global infrastructure push and reinforces U.S. influence in Latin America. By stepping away from the BRI, Panama signals a recalibration of its strategic partnerships, favoring stronger economic and diplomatic ties with the United States.

Panama’s exit from the BRI highlights the broader global pushback against China's ambitious infrastructure project, which has faced increasing scrutiny over debt dependency and sovereignty concerns. Many nations that once welcomed Chinese investments are now reconsidering their commitments, citing financial burdens and strategic risks. The U.S. has actively encouraged such reversals, emphasizing alternatives that promote economic independence and long-term sustainability. Panama’s decision, likely influenced by Washington, underscores a growing wariness among developing nations regarding China’s economic entanglements.

The shift also reflects Panama’s reassessment of its national interests, particularly concerning trade, security, and diplomatic relations. The country has been a crucial hub for global commerce, with the Panama Canal serving as a key passage for international trade. Strengthening ties with the U.S. could bring economic incentives, security cooperation, and infrastructure support that align with Panama’s long-term development goals. This departure from the BRI may also serve as a precedent for other Latin American nations weighing their options between Beijing and Washington.

For Trump, this geopolitical development reinforces his administration’s tough stance on China and adds to his foreign policy achievements. While he is no longer in office, the influence of his policies continues to shape global realignments, particularly in regions where U.S.-China competition is most pronounced. Panama’s exit from the BRI signals a broader trend of countries reassessing their engagements with China and seeking more balanced partnerships. Whether this move will inspire a domino effect in Latin America remains to be seen, but it undoubtedly marks a diplomatic win for the U.S. in its strategic rivalry with China.