Which country became the first in Latin America to exit China's Belt and Road Initiative in 2025?

The correct answer is Panama.

Key Points

• Panama became the first Latin American country to exit China’s Belt and Road Initiative (BRI) in 2025, signaling a shift in its geopolitical alliances.
• The Belt and Road Initiative, launched by China in 2013, is a global infrastructure development strategy aimed at increasing economic and trade connectivity.
• Panama had initially joined the BRI in 2017, under the presidency of Juan Carlos Varela, to boost trade and investment ties with China.
• Panama's decision to exit the BRI aligns with its efforts to diversify its trade partnerships and reduce dependence on China amid global geopolitical tensions.
• The withdrawal has sparked discussions on the long-term sustainability and geopolitical implications of the BRI in Latin America.

Additional Information

• Belt and Road Initiative (BRI):
  • The BRI is a global development strategy initiated by China to invest in infrastructure projects such as roads, railways, and ports in over 140 countries.
  • It aims to improve trade routes and foster economic integration across Asia, Europe, Africa, and Latin America.
• Panama's Geopolitical Position:
  • Panama holds a strategic location due to the Panama Canal, a critical waterway connecting the Atlantic and Pacific Oceans.
  • Its geopolitical decisions have significant implications for global trade and security dynamics.
• Impact of BRI Withdrawal:
  • Panama's exit from the BRI may influence other Latin American countries to reconsider their participation in the initiative.
  • It highlights concerns over debt sustainability and the strategic autonomy of participating nations.
• Alternative Partnerships:
  • Panama is exploring stronger economic ties with the United States and European Union to balance its trade relations.
  • These partnerships aim to provide an alternative to Chinese investments and infrastructure projects.