Reduce Chinese influence or face 'necessary measures': US State Secy Marco Rubio cautions Panama

US Secretary of State Marco Rubio cautioned Panama about China's influence and control over the Panama Canal, calling the situation "unacceptable" and said that the US will take "necessary measures" if changes are not made.

During a meeting with Panamanian President Jose Raul Mulino and Foreign Minister Javier Martinez on Sunday in Panama City, Rubio conveyed US President Donald Trump's concerns.

US President Donald Trump "has made a preliminary determination that the current position of influence and control of the Chinese Communist Party over the Panama Canal area is a threat," State Department spokesperson Tammy Bruce said in a statement.

Rubio made it clear that the current situation is "unacceptable" and in the case of "absent immediate changes, it would require the United States to take measures necessary to protect its rights under the Treaty," concerning the Permanent Neutrality and Operation of the Panama Canal.

Rubio arrived in Panama on Saturday, marking his first trip since holding the job as US top diplomat.

Rubio's choice to visit Central America - Panama, El Salvador, Costa Rica, Guatemala, and the Dominican Republic - is intentional and meant to drive forward the Trump agenda by "paying closer attention to our own neighbourhood," CNN reported.

Trump in his inaugural address on January 20, claimed that China is "operating" the Panama Canal and US is going to "take it back" as the US has been treated 'unfairly.'

After being sworn in as the 47th US President at the US Capitol in Washington, DC, he said, "The United States, I mean, think of this, spent more money than ever spent on a project before and lost 38 lives in the building of the Panama Canal. We have been treated very badly from this foolish gift that should never been made, and Panama's promise to us has been broken."

Responding to Trump's threats, Panama President Mulino said the Panama Canal would continue to operate under Panamian control and no nation must interfere in Panama's matters.

"In the name of the Republic of Panama and its people, let us consider integrally the words uttered by President Donald Trump regarding Panama and its Canal, in his inaugural speech. Again he expressed in his message to the Nation, last December 22: the Canal is and will continue to operate under Panamanian control with respect for its permanent neutrality. There is no presence of any nation in the world that interferes with our administration," he said.