Relationship dossier
Panama
Taiwan
Relationship assessment
Earlier diplomatic and trade cooperation gave way to a rupture after Panama recognized the People’s Republic of China in 2017.
Panama toward Taiwan
-40Panama maintained diplomatic relations and a free trade agreement with Taiwan, then shifted recognition to the People’s Republic of China in 2017 and ended official ties with Taiwan. Panama later terminated the trade agreement.
Taiwan toward Panama
-40Taiwan maintained diplomatic relations and a free trade agreement with Panama before ending diplomatic relations after Panama shifted recognition to the People’s Republic of China in 2017.
Overall relationship
-40The bilateral relationship included formal diplomatic cooperation and a free trade agreement, but Panama’s 2017 recognition shift ended official ties. The subsequent termination of the trade agreement reinforced the rupture, outweighing the earlier cooperative arrangements in the enduring structure of the relationship.
How to read these scores
Scores are rough judgments, not objective measurements or current verification. Directional scores describe government policy and conduct, not public opinion. The overall score is an independent estimate, never an average.
- −100
- Extreme sustained hostility
- −50
- Substantially adversarial
- 0
- Mixed or neutral, supported by knowledge
- +50
- Substantially cooperative
- +100
- Exceptionally close sustained partnership
“Not assessed” means there is no recorded score. Pair existence makes no claim about diplomatic recognition or established relations.
Relationship context
Overview
Panama and Taiwan maintained diplomatic relations and a free trade agreement before Panama shifted diplomatic recognition to the People’s Republic of China in 2017. The change ended official diplomatic ties, and Panama later terminated the trade agreement. Taiwan also ended diplomatic relations with Panama. The history therefore combines substantive earlier cooperation with a decisive rupture.
Areas of tension
- Panama’s diplomatic recognition of the People’s Republic of China and the resulting severance of ties with Taiwan.
- Termination of the Panama–Taiwan free trade agreement.
Key developments
Panama shifted diplomatic recognition to the People’s Republic of China and ended diplomatic relations with Taiwan; Taiwan also ended diplomatic relations with Panama.
Panama terminated its free trade agreement with Taiwan.
Major uncertainties
- The practical scope and timing of the trade agreement’s termination are unclear.
- The extent of any subsequent non-diplomatic government contact is unclear.