China’s Strategic Commercial and Political Inroads in the Bahamas

Published: October 15, 2026, 7:42 am

The Bahamas, an archipelago located just 80 kilometers from the United States, has become a focus of significant Chinese commercial activity and political influence. While often overshadowed by discussions of Chinese operations in Cuba or the Panama Canal, the Bahamas represents a strategic area that the U.S. State Department has labeled its “third border.” The U.S. National Security Strategy, updated in December 2025, emphasizes the need to resist influence from extrahemispheric actors, particularly regarding control over strategic assets and shipping corridors in the Western Hemisphere.

Chinese commercial ventures in the region are extensive, spanning port operations, hotels, resorts, and critical infrastructure such as telecommunications and electricity. Hutchison, a Hong Kong-based firm, operates the Bahamas’ primary port and container terminal at Freeport, alongside its cruise ship terminal. The company is currently overseeing a $100 million modernization project at the site, which has raised past concerns regarding data security. Furthermore, Macau-based Chow Tai Fook Enterprises owns the $4.2 billion Baha Mar resort. Its builder, China Construction America (CCA), was previously found by U.S. courts to have caused $845 million in damages due to fraud and breach of contract against the original developer, Sarkis Ismirlian.

Labor and compliance issues have also surfaced. Chinese companies, including CCA and the China State Construction and Engineering Company, have faced criticism for their handling of personnel. For example, local authorities arrested 65 Chinese nationals performing renovations at the British Colonial Hotel due to improper work authorizations. Similarly, at The Pointe project, records indicated the employment of 229 Chinese nationals and 35 other foreign workers compared to only 90 Bahamians, despite a government agreement requiring 70 percent local hiring. Beyond hospitality, Chinese companies have expanded into energy, providing solar solutions through firms like Sungrow, Kehua, and GSL, and have engaged in infrastructure projects including a loan-financed hospital and national stadium renovations.

In the telecommunications sector, Huawei remains a major supplier for national operators such as ALIV and BTC. In 2013, Huawei Marine Systems was selected to upgrade the BDSNi fiber-optic network, which includes submarine cables, raising risks related to sensitive data security. Additionally, Chinese surveillance technology is present, with Hikvision providing over 2,000 cameras for the Baha Mar casino.

Beyond business, Beijing has cultivated deep people-to-people ties. The Royal Bahamas Defense Force and Royal Bahamas Police Force regularly send personnel to China for training, including six defense force members who attended maritime law enforcement and language courses in 2025. Material support is also common, with donations ranging from two Tiger armored vehicles in 2017 to workout equipment and jet skis provided by the Baha Mar Foundation.

Political and social influence initiatives are extensive, involving the invitation of parliamentarians, medical professionals, and journalists to China. In July 2026, representatives from the Progressive Liberal Party and the Free National Movement participated in party-to-party consultations in Beijing. The Chinese government has also actively engaged local media, with journalists from The Tribune and Eyewitness News participating in various seminars and exchanges in China. Furthermore, the Confucius Institute at the University of the Bahamas, which transitioned from a classroom in 2009 to a full institute in 2012, has trained over 1,000 students and facilitated travel to China for more than 100 individuals.

While much of this engagement is commercial, the depth of China's presence in a country so close to U.S. shores—and along vital maritime routes—remains a matter of strategic concern for Washington. The potential for these relationships to provide intelligence opportunities or support for People’s Liberation Army or Ministry of State Security operatives underscores the need for continued monitoring of these developments.

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Photo: Collected