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This is John Batchel, a conversation with Professor Avan Ellis, upon the news that China is harassing Panamanian flag ships in the Chinese waters.

Why has to do with the dispute over ports in Panama at either side of the Panama Canal.

China is using lawfare against Panama because a decision in the Panama courts went against China.

Evan explains how this works and why.

More of this tonight.

My sense, John, is that they don't expect the decision will be reversed.

Now, the Panama has made it, but they're effectively trying to teach Panama a lesson

to prevent Panama from taking other actions against Chinese companies

in other places. And frankly, and there's a Chinese expression to frighten a monkey by killing

the chicken, the Chinese understand that when they demonstrably hurt somebody badly, also other

countries take note. I remember when I was in Chile, one of my Chilean business colleagues said, look what

the Chinese did to Australia.

We would be foolish in Chile to go against the Chinese understanding what they do.

So this is demonstrating the ability to impose pain, understanding that will influence not only

Panama in this case, but also a number of

other countries that are considering trying to accommodate the US by cutting out

Chinese interests in other areas.