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The US and five Latin American nations have issued a joint statement condemning China for using economic pressure against Panama.

Some shit you should know before you dig in: Back in January, Panama’s Supreme Court ruled that decades-old contracts allowing CK Hutchison (a Hong Kong-based company) to operate the Balboa and Cristobal port terminals (located at opposite ends of the canal) were unconstitutional, handing control to Panamanian authorities. The ruling came amid intense pressure from Trump, who had been threatening to “take back” the canal since returning to office, alleging China was effectively operating it. With Hutchison out, Panama handed Maersk and MSC 18-month concessions to keep the terminals operating. CK Hutchison has filed arbitration claims against both Panama and Maersk, demanding upward of $2 billion. China called the court ruling “absurd” and “shameful.”

What’s going on now: The US, Costa Rica, Bolivia, Guyana, Paraguay, and Trinidad and Tobago released a joint statement accusing China of retaliating against Panama with “targeted economic pressure” on Panamanian-flagged ships. China detained nearly 70 Panamanian-flagged vessels in March alone (far above historical norms) in what the US Federal Maritime Commission said appeared to be informal directives designed to punish Panama for the port transfer.

Out of 123 ships pulled aside in Chinese ports that month, 91 flew Panama’s flag ( a roughly 90% increase than the previous months).

China also summoned representatives of Maersk and MSC for “high-level discussions” and instructed them to stop operating the terminals, according to the Financial Times, while Chinese shipping firm COSCO suspended operations at Balboa entirely.

In a joint statement, the countries said that “these actions are a blatant attempt to politicize maritime trade and infringe on the sovereignty of the nations of our hemisphere.” China’s foreign ministry fired back Wednesday, calling the statement a “smear” and accusing the US of “hypocritically posturing and spreading rumors.”