Nicaraguan president Daniel Ortega speaks at the 2024 China-LAC Business Summit. Credit: tn8.tv
On Nov. 18, at the XVII China-Latin America and the Caribbean Business Summit in Managua, Nicaragua, Nicaraguan president Daniel Ortega proposed a transformative vision: a new canal across the country, spanning 277 miles (445 km) from Bluefields on the Caribbean coast to Corinto on the Pacific coast.
This alternative to the Panama Canal would be a joint effort led by Latin American and Caribbean businesses, with participation from China and open to international cooperation. This project is not just an infrastructure endeavor — it represents a movement for economic advancement, self-determination and dignified modernization for Nicaragua and the oppressed people of Latin America. The proposed canal offers a future where Latin America controls its own trade routes and economic destiny, fostering regional unity and empowerment.
The canal proposed by Nicaragua. Credit: X/el19digital
The idea of a canal through Nicaragua is not new. Nicaragua was originally considered alongside Panama as a potential canal site, with its transit route becoming a key path during the Gold Rush. Although Panama was ultimately chosen, later Nicaraguan governments sought to build a canal with aid from world powers, only to face U.S. intervention, culminating with a treaty that granted the U.S. exclusive rights to build a canal in Nicaragua — rights it never used, solely to prevent others from doing so.
In the 1930s, Nicaraguan revolutionary leader Augusto Sandino revived the project as a historical pan-Americanist vision, a canal that would be owned and operated by his proposed Alliance of Latin American States. Today’s renewed proposal comes at a time when the region is asserting itself in a multipolar world, seeking cooperation rather than subordination. This renewed vision of Pan-Americanism, embodied in the canal proposal, is a rallying call for regional unity against the forces of imperialism.
Marco Rubio and the deepening threat of imperialism
This bold initiative coincides with an expected dangerous escalation of U.S. aggression under Trump’s newly nominated Secretary of State Marco Rubio, a politician known for his extreme animosity towards Cuba, Venezuela and Nicaragua. Journalist Benjamin Norton has aptly described Rubio as the “king of the neocons.”
Rubio’s nomination reveals a desperate strategy to suppress socialist governments and multipolar alliances. He has consistently supported regime change efforts, advocating invasions and sanctions to cripple their economies.
Rubio has advocated reviving McCarthy-era tactics, pushing legislation to silence media sympathetic to China or governments in Nicaragua, Cuba and Venezuela, and his ties to the U.S. Agency for International Development and the National Endowment for Democracy highlight his role in destabilizing socialist governments.
These organizations, long tools of U.S. imperialism, have systematically undermined governments resisting U.S. influence under the claim of promoting democracy. Their methods include supporting coups, funding opposition groups, and orchestrating propaganda campaigns to maintain U.S. dominance. Public photos and tweets of Rubio with student leaders involved in Nicaragua’s 2018 coup attempt underscore his support for the unrest.
The 2018 coup attempt, falsely framed as a protest against pension reform, sought to create destabilization and overthrow of Nicaragua’s elected government, by unleashing chaos and violence. Despite the disruption, the Nicaraguan people resisted, and the government’s careful but firm response reestablished the peace.
The previous Trump administration labeled Nicaragua, Cuba and Venezuela as the “Troika of Terror,” with then-National Security Advisor John Bolton describing them as the “cradle of communism in the Western Hemisphere.” This ideological obsession has fueled decades of U.S. aggression to undermine sovereignty, from economic blockades to covert operations, with devastating human costs.
Nicaragua’s revolutionary progress
Rubio’s hostility toward Nicaragua is rooted in the country’s remarkable resilience. Over the last decade, despite relentless U.S. sanctions and intervention, Nicaragua has achieved social and economic milestones that rival even the wealthiest nations:
- The Sandinista government dedicates 43% of its budget to free healthcare and education, constructing the largest hospital network in Central America and offering multilingual education inclusive to indigenous communities.
- In economic growth, the country’s Gross Domestic Project, exports, and GDP per capita have tripled since 2006. Renewable energy powers 62.7% of the nation, electricity coverage has reached 99.3%, and drinking water access has doubled. Renewable sources include hydraulic, wind, geothermal and solar.
- Nicaragua has built over 2,800 miles (4,600 km) of roads and bridges, reducing overall poverty from 48.3% in 2005 to just 13.3% in 2022.
- In 2024, Nicaragua ranked sixth globally in gender equality and among the happiest countries in the Americas, according to the World Economic Forum and the UN’s World Happiness Report, respectively. The government’s commitment to social welfare is reflected in an 83% approval rating for President Ortega, according to a national poll.
These achievements reflect the success of Nicaragua’s government since the Sandinistas’ return in 2006 with Ortega’s election, contrasting sharply with the 16-year neoliberal “dark age” from 1991 to 2006. During that period, privatization of education, healthcare, and energy production and distribution left public institutions weakened. The Sandinista government’s commitment to the well-being of its people, the threat of a good example, make it a target for U.S. aggression.
The canal: A symbol of multipolar unity
The proposed canal stands as a symbol of resistance to dependency and a beacon of self-determined development. While the Panama Canal plays a significant role in global trade, the proposed Nicaraguan canal aims to provide an additional route that strengthens regional self-determination. The project echoes Sandino’s dream of a united Latin America and aligns with the region’s growing integration into a multipolar world.
The China-LAC Business Summit, along with upcoming events like the 2024 APEC summit in Peru, and the G20 and BRICS summits in Brazil in 2025, signals a region increasingly aligned with global powers challenging sole U.S. dominance. A Nicaraguan canal could become a cornerstone of this new order, solidifying Latin America’s role as a key player in global trade and cooperation.
The cost of imperialism and the fight ahead
As history has shown, the resilience of the Nicaraguan people has repeatedly thwarted U.S. designs. The canal proposal is both a symbol of this defiance and a practical step toward economic sovereignty. Moreover, such infrastructure projects could inspire similar initiatives across Latin America, fostering regional solidarity and resistance.
The region’s future lies in cooperation, solidarity and resistance to imperialism. Initiatives like the canal, combined with participation in BRICS, APEC and China-LAC partnerships, represent a path forward for countries seeking to chart their destinies free from U.S. domination.
Defend sovereignty and advance collective progress
The battle over Nicaragua’s canal proposal encapsulates the broader struggle between imperialism and sovereignty in Latin America. This vision channels the revolutionary spirit of Sandino, offering a roadmap for unity and resilience in the face of U.S. aggression. As Latin America rises in a multipolar world, the stakes for countries like Nicaragua, Cuba and Venezuela have never been higher. Their revolutionary achievements — despite relentless imperialist attacks — stand as a testament to the power of collective resistance.
The canal proposal is not just a project; it is a call to action for all who oppose imperialism and support a future defined by solidarity, sovereignty and shared prosperity. International supporters can contribute by amplifying Nicaragua’s struggle, organizing solidarity campaigns, and supporting grassroots organizations in the region. Actions such as lobbying against sanctions, raising awareness through community events, and supporting local projects in Nicaragua can help protect and sustain the progress being made.
