Panama: no price to establish China ties

Panamanian President Juan Carlos Varela said in Washington on Wednesday that contrary to some rumors, Panama didn't ask China "for anything" in return for severing diplomatic ties with Taiwan a week ago and establishing diplomatic relations with China.

"The most important thing is Panama didn't ask for anything. Nothing," Varela said. "We just say, we feel it's the right thing to do," he told a packed audience at the Inter-American Dialogue in Washington.

Varela cited China's role as the world's second-largest economy, a fifth of the world's population, the second major user of the Panama Canal, and the top supplier of the Colon Free Trade Zone located in Panama. He said that many Chinese companies have their regional headquarters in Panama, many Chinese construction companies are trying to do business in Panama and there is a large Chinese community.

"So why not establish relations with a country that is one of the most important in the world economy?" said Varela, who was on an official visit to the US and met with US President Donald Trump on Monday.

The Panamanian president said he may be traveling to Beijing and Shanghai in the near future. "The idea is to set our relationship that is win-win for both," he said.

"It will be a very positive decision for our people, for our economy, for our social development," Varela said, adding that it will bring a lot of investment, trade and tourism opportunities to Panama.

Varela, 53, told the audience that he had the idea of establishing diplomatic ties with China in 2007 when he was invited by Tim Shriver, head of the Special Olympics, to attend the Shanghai Special Olympic World Summer Games.

"I was very impressed, to be honest, with my visit to Shanghai and Beijing," said Varela, who then was president of the Panamenistas, the third-largest political party in Panama.

In China, Varela said he was impressed by the country's economic development and opening up, as well as its growing foreign investment and trade.

He saw athletes from Taiwan, whose team is called Chinese Taipei, marching behind the Chinese mainland delegation. "So there is just one people," he said.

In Beijing, Varela was already telling people that he would establish diplomatic relations with China if he became president.

But he said the "diplomatic truce" between the two sides of the Taiwan Straits after Ma Ying-jeou became Taiwan leader in 2008 put an end to that idea. He said that he was happy to see the growing trade, investment, trade and tourism between the Chinese mainland and Taiwan.

He said he had informed Taiwan leaders at the highest level that if there is no "diplomatic truce", Panama will recognize the Chinese mainland.

chenweihua@chinadailyusa.com