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By Mandy Taheri and Gabe Whisnant
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While in Panama on Wednesday, U.S. Secretary of Defense Pete Hegseth reiterated the Trump administration's warnings about China's growing presence in the Western Hemisphere as tensions between the two global powers escalate amid a deepening tariff war.
His latest comments come one day after labeling Beijing a threat to the Panama Canal.
Newsweek reached out to China's Ministry of National Defense for comment via email on Wednesday.
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Why It Matters
Hegseth's visit to Panama comes amid broader tensions sparked by President Donald Trump's repeated claims that the United States is overcharged for using the canal and that China has undue influence over it—an assertion Panama and China have both denied.
The defense secretary's comments against China come as the two global trading powers are locked in a tariff war that has rattled markets. Trump has raised tariffs on Chinese goods to 104 percent, and China responded by announcing 84 percent tariffs on U.S. imports.
What To Know
On Wednesday, at the Central American Security Conference in Panama, Hegseth warned that China-based companies are controlling land and critical infrastructure in key sectors across the region and noted the country's military presence.
"China's military has too large of a presence in the Western Hemisphere," Hegseth said.
China and the United States both maintain significant military forces. China has the world's largest military by active-duty personnel, while the United States has the largest defense budget—and, many argue, the most powerful armed forces.
The Western Hemisphere encompasses a vast region stretching from Cape Horn, at the southern end of South America, to the Caribbean, Central America, the U.S., Canada and Greenland.
"Make no mistake, Beijing is investing and operating in this region for military advantage and unfair economic gain," Hegseth added.
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Hegseth urged regional governments to unite in countering China's alleged influence while also addressing other shared security challenges such as transnational drug cartels and mass migration, according to the Associated Press.
His remarks came the same day that China's Tourism Ministry issued a new "risk alert" about the U.S. to Chinese travelers amid the growing trade war with Trump.
Hegseth met with Panama President José Raúl Mulino on Tuesday. Since Trump took office in January, the U.S. and China have sent several diplomats to Panama.
On Tuesday, Hegseth emphasized his hardline stance, saying, "The United States will not allow China or any other nation to jeopardize the operation of the canal. To this end, the United States and Panama have done more in recent weeks to strengthen our defense and security cooperation than we have in decades."
Those remarks led the Chinese government to counter: "Who represents the real threat to the Canal? People will make their own judgment."
What People Are Saying
China's Tourism Ministry said in a Wednesday statement: "Recently, due to the deterioration of China-US economic and trade relations and the domestic security situation in the United States, the Ministry of Culture and Tourism reminds Chinese tourists to fully assess the risks of traveling to the United States and be cautious."
A U.S. State Department spokesperson told Newsweek in late March: "As stated by Secretary Rubio, we can't live in a world in which China has more influence and more presence than we do in our region. The expanding role of the Chinese Communist Party (CCP) in the Western Hemisphere threatens U.S. interests."
China's Finance Ministry said in a statement: "The U.S. escalation of tariffs on China is a mistake on top of a mistake, which seriously infringes on China's legitimate rights and interests and seriously undermines the rules-based multilateral trading system."
What Happens Next
The regional security conference started Tuesday and runs through Thursday, April 10.
This story contains reporting by the Associated Press.
Update 4/9/25, 1:14 p.m. ET: This article was updated with additional information.
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