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In Trump's inaugural speech, China was mentioned specifically in regard to the Panama Canal, where he voiced concerns over China's influence and its involvement in significant infrastructure projects there. Trump believes this situation poses a national security risk due to ambiguous military and civilian roles in the region. Conversely, the Panamanian government has maintained that the canal remains under its control, dismissing claims of foreign influence.
Most notably, Trump's Day One executive orders did not target new tariffs on China, marking a shift towards negotiation rather than confrontation. Unnamed sources indicated this decision reflects a softening stance that could offer China breathing room initially from economic pressures, at least through much of 2025.