Uruguay's win saw it move level with United States on three points. US beat Bolivia 2-0 in the day's other Group C match.

Marcelo Bielsa's Uruguay, who have won the Copa America a joint record 15 times, were rewarded for their blistering early pace when Araujo fired home a sublime curling effort from the edge of the area in the 16th minute.

Panama grew into the match after the break and wasted several chances to get themselves back into the contest.

Jose Fajardo blasted an effort wide in the 52nd minute after a defensive error by Mathias Olivera, while Jose Rodriguez tested Uruguay goalkeeper Sergio Rochet with a ferocious shot from range.

Asked what he said to his team at halftime, Panama coach Thomas Christiansen told reporters: "I told them they have to be fearless.

"That they have to increase their level of confidence. That they are capable to do what they did in the second half. And after the goal, like Uruguay, we generated opportunities."

Uruguay was on the ropes for much of the second half but Nunez, who had already missed a string of chances, settled its nerves in the 85th minute with a coolly-taken volley into the bottom corner after a rebound dropped kindly for him.

In a frenetic spell during stoppage time, Vina rose highest to head home Uruguay's third from a set-piece before Michael Amir Murillo netted a consolation goal for Panama after cutting back onto his left foot and curling his shot past Rochet.

Uruguay's all-time leading scorer Luis Suarez, 37, was an unused sub.

Uruguay next faces Bolivia in New Jersey, while Panama takes on United States in Atlanta.