US Secretary of State Marco Rubio has told Panamanian President Jose Raul Mulino during talks that President Donald Trump believes China's influence threatens the Panama Canal, calling for immediate changes, or the US will take measures, a State Department representative said, VOA reports.

The Panamanian government strongly denies that China is directing the canal's operation, and argues that it operates the canal itself, treating all ships fairly, Reuters reports.

Although the canal itself is under Panamanian jurisdiction, the two ports on either side of it are operated by Hong Kong-registered CK Hutchinson, while other nearby ports are operated by private companies registered in the US, Singapore, and Taiwan.