The U.S. exit from Panama is embarrassing, but the real story lies elsewhere

The U.S. exit from Panama is embarrassing, but the real story lies elsewhere

The weaker U.S. national team suffered a crushing upset in the Gold Cup. But as preparations intensify in 2026, important developments are taking place elsewhere

The Gold Cup is a cash cow for CONCACACA, and it inspires a very different mood in the U.S. men's national team than the World Cup. It is the superiority complex, not the inferiority complex, that dominates the conversation.

In Qatar's Round of 16 loss to the Netherlands, people were distressed by the inadequacy shown, considering the status of the United States as a perennial host and the low quality of most opponents.

They failed to do it this month, losing to Panama on penalties in Wednesday's semifinals. It was the second time in the last ten editions of the Gold Cup that the U.S. failed to reach the final, with Mexico taking on Panama at the Sophie Stadium in Los Angeles on Sunday.

It was also the second defeat in 12 games since the World Cup, the other being a 2-1 defeat to Serbia in a friendly in January, when both sides lacked strength.

U.S. interim head coach BJ Callaghan blamed his tactical miscalculations in the first half for giving the strong, well-trained Panama the initiative early, while the players tired after the quarterfinals against Canada went into extra time. He was punished only three days ago.

Despite the large audience, for the United States, the Gold Cup is becoming a replica of a major tournament, a replica of a real game. As in 2021, the U.S. team essentially appointed a shadow team in order to give European players (that is, the best) a break. Even the head coach was replaced, and Greg Burhalt did not return to his permanent post until after the game.

For the U.S. team, the Gold Cup is primarily about testing the team's depth with regional opponents, as well as an opportunity for work experience; Of the 23-man roster, 14 have made fewer than 10 appearances in the tournament. In performances over the past few weeks, only a handful of players are likely to keep their squad when Burhalt next designates a full squad. One of them – Matt Turner – rose to prominence in the 2021 Gold Cup (when Team USA won the title) and gradually became Qatar's preferred goalkeeper. So occasional breakthroughs are possible.

James Sands, a 23-year-old defensive midfielder at New York City FC, presented his own viable replacement to Tyler Adams, while Cade Cowell, a 19-year-old winger who plays for the San Jose Earthquakes, scored a steady goal against Trinidad & Tobago and received a soft return pass, Bypassing the goalkeeper and confusing a defender, it was his first goal in an international match. 19-year-old LA Galaxy central guard Jalen Neal is also one of the players to watch.

Jesús Ferreira, who surprisingly started 45 minutes against the Netherlands last year and needed to regain his reputation, became the first player in USMNT history to score a hat-trick in consecutive international matches. The small Caribbean island nation's Dallas striker scored another beautiful volley against St. Kitts and Nevis and Trinidad and Tobago, and his seven Gold Cup goals equalled the USMNT tournament record set by Clint Dempsey in 2015.

The 22-year-old currently has 15 goals and four assists in 23 games, making him the fastest player in USMNT history to reach double-digit goals. But until he can prove his effectiveness against the elite national team, he may still be behind shining rising stars Fullarin Balogon and the revived Ricardo Peppi on the depth map.

When Burhalt chose his strongest starting lineup, Major League Soccer players were the exception rather than the rule, and the focus of the U.S. national team had shifted to Europe. Looking ahead to the all-important 2026 World Cup, the intrigue of player agents and club managers as they grapple with the precarious situation of many of Burhalt's key figures this summer could have a bigger impact on the team's prospects than anything that happens during the Gold Cup.

As the defeated player struggled off the pitch in Santiago, Christian Christian Pulisic was in Italy completing his transfer to Milan. He started just eight Premier League games for Chelsea in a season and scored once, with the American talisman reportedly offering a transfer fee of $22 million – about a third of what Londoners paid Dortmund in 2019. He is still only 24 years old and his performances against Mexico in Qatar and the CONCACAF Nations League last month underscored his importance to the team, so it is essential to avoid another season of stallion at club level.

That seemed like a risk for Turner, who appeared in the Gold Cup precisely because he didn't play for Arsenal's first team. Despite his reliability, it doesn't help to sit almost entirely on the bench for the second season at the age of 29. Pepi has just joined Dutch league runners-up PSV Eindhoven, providing a useful platform for the 20-year-old, while Brendon Aronsen enters the Champions League from the Championship after a year on loan at Union Berlin from Leeds United. For Weston McKennie, Adams, Balogun, Sergiño Dest, Yunus Musah, and Gio Reyna, the picture is even darker.

The aftershocks caused by the Reina riots delayed Burhalt's re-election, a storyline to watch when Team USA and their coach return to play in September and play low-key friendlies with Uzbekistan and Oman. After the epic rupture during and after the World Cup, will the playmaking core and coaches hold a press conference announcing a fresh start in their relationship?

With October's enticing friendlies against Germany and Ghana and the return of the Nations League, this autumn promises to be more meaningful and attractive than summer, especially around the performance of Balogon. The Nations League is a qualifying tournament for the 2024 Copa America. Like the Gold Cup, it will also be held in the United States – which will result in a windfall for Conmebol and a rehearsal for the 2026 World Cup co-hosts. To be sure, the American lineup — and public opinion — will change a lot in a year.