The end of the Nicaragua Canal?
With the surge in China-Panama relations following Panama’s break with Taiwan, it would appear that the vision of the Nicaragua Canal becomes shipwrecked.
From a pure business perspective the Nicaragua Canal have always appeared non-feasible. Hence the only logical main driving force would have been political motivation from the Chinese. And given China’s direction, especially under the Belt and Road Initiative, such motivation should clearly not be underestimated.
However, with the strengthened China-Panama relations, and a rush to invest in infrastructure in Panama, is appears logical that the Nicaragua Canal could very well be off the table.
Source: Lars Jensen, CEO, Partner at SeaIntelligence Consulting