Panethnicity refers to the development of bridging organizations and the generalization of solidarity among subgroups that are racialized to be homogeneous by outsiders. This chapter argues that while the formation of a consolidated white identity in the United States is self-motivated and linked to white privilege, panethnicity for people of color is a product of racial categorization and bound up with power relations. As the influx of new immigrants transforms the demographic composition of existing groups such as Asian Americans and Latinos, group members face the challenge of bridging the class, ethnic, and generational chasms dividing the immigrants and the U.S.-born. In all, existing data confirm the plural and ambivalent nature of panethnicity: it is a highly contested terrain on which different groups merge and clash over terms of inclusion but also an effective site from which to forge alliances with other groups both within and across the U.S. borders.