China inaugurates its Embassy in Panama

The Chinese Embassy was inaugurated last weekend in Panama, during a visit of the Chinese Foreign Minister Wang Yi. China and Panama signed a joint communique on June 13 this year on the establishment of diplomatic relations. China is the second-biggest user of the Panama Canal, and the main user of the Colon Free Trade Zone. Wang Yi indicated that a group of Chinese companies have signed contracts for the export of Panamanian goods worth USD 38.7 million to China and that the two countries are negotiating the establishment of a Free Trade Agreement.

Besides, China has expressed its willingness to finance the construction of a train between the Panamanian capital and the border of Costa Rica. Currently, Chinese companies are already developing a port in Panama, which is the Puerto Panamá-Cólon in Isla Margarita, with a capacity of 2 million TEUs constructed by the China Landbrigde Group. Furthermore, Chinese state firms have expressed interest in the development at the West Bank of the Panama Canal, once the country opens a tender for it in the beginning of 2018. The Dutch Antea Group and Stig Delta have developed a masterplan for this side of the Canal, including plans to invest in logistic parks, ports, railways and road connections, ensuring optimum commercial use of the area.