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Amid several warnings from US President Donald Trump, Panama’s President Jose Raul Mulino on Monday announced that Panama will not be a part of China's Belt and Road Initiative. Mulino said that his government will not renew the 2017 deal of Panama's being part of China's ambitious plan.

The remarks from Panama's president came after US President Donald Trump on Sunday said that “something very powerful is going to happen soon” in the Panama Canal, adding that the Canal authorities had violated the agreement. Trump raised concern over China's alleged influence and control over the business decisions of Panama Canal authorities.

Trump, on numerous occasions, had raised concerns over the high tax imposed on the US ships by the canal authorities. While describing the Panama Canal as a "modern wonder", Trump emphasised that the US had given control of the Panama Canal to operate independently, and China's influence on its decisions was a violation of the agreement, adding that the US has all the rights to take what belongs to them.

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Though Trump said that troops should not be needed in the whole process, he added that Panama Canal's decision was too harsh on the US, and it harmed the country's economy in several ways. He emphasised that the US will take back the canal if the canal administration does not scrap its ties with Beijing.

“China's running the Panama Canal… it was not given to China… But they violated the agreement and we're going to take it back or something very powerful is going to happen,” Donald Trump told reporters on Sunday.

However, Panama President Jose Raul Mulino had emphasised that there was no bias with the approach of the Panama Canal, and they were not afraid of the threats from the US. He further said that the Canal administration is ready for a conversation with the US officials.

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Earlier on Sunday, US Secretary of State Marco Rubio, known as a China hawk, confirmed that the US will "take necessary measures" if required. He asked the Canal authorities to immediately act on the proposals from the US, adding that China's influence and control over the waterway must come to an end.