China on lashed out at what it called U.S. “coercion” after Panama declined to renew a key infrastructure agreement with Beijing following Washington’s threat to take back the Panama Canal.

China says it "regrets" Panama's decision to pull out of the Belt and Road Initiative (BRI), accusing the United States of using "pressure and coercion to smear and undermine" the project, a massive infrastructure initiative aimed at expanding Beijing's clout overseas.

President Trump’s order imposing additional tariffs on China this week also suspended a popular trade exemption known as the de minimis provision that has let bargain platforms such as Shein and Temu skirt import duties and red tape on low-value packages from China.