Nicaragua recognizes China, breaks ties with Taiwan. Is a Panama Canal alternative coming soon?

Nicaragua’s Sandinista government has broken diplomatic ties with Taiwan and recognized the People’s Republic of China. Ben Norton and Max Blumenthal discuss the historic decision and its huge geopolitical implications. A Chinese company plans to build an inter-oceanic canal in Nicaragua, to challenge the monopoly of the US-dominated Panama Canal. And the same week, Nicaragua signed agreements strengthening ties with Russia and collaborating on nuclear energy projects. ||| The Grayzone |||