President-elect Donald Trump has made headlines by threatening to reassert U.S. control over the Panama Canal, expressing concerns over what he perceives as excessive fees charged by Panama for the canal’s use. Speaking to supporters in Arizona, Trump emphasized that he would prevent the canal from falling into the “wrong hands,” specifically mentioning worries about potential Chinese influence.
Although China does not own or manage the canal, a subsidiary of Hong Kong-based CK Hutchison Holdings has been overseeing two of the canal’s ports. Trump’s remarks came shortly after he criticized Panama on his platform, Truth Social.
During his speech at AmericaFest, an event organized by a conservative group, Trump questioned the fairness of Panama’s fees and suggested that the U.S. had been treated unjustly. He reminded the audience of the historical context in which the canal was transferred to Panama, asserting that if Panama does not adhere to the agreement’s principles, the U.S. will demand the canal’s return.
The Panamanian government has not publicly responded, but several politicians from Panama highlighted their country’s sovereignty and called for a strong defense of its autonomy. Grace Hernandez, an opposition member, urged the government to stand firm in light of Trump’s comments.
The Panama Canal, completed by the U.S. in the early 20th century, was fully transferred to Panama in 1999, following agreements signed in 1977. The canal plays a significant role in global trade, facilitating the passage of around 14,000 ships each year and accounting for 2.5% of worldwide seaborne trade.
Trump’s push for control raises questions about how he would approach such a reversal, especially given that international law offers him no legal grounds for reclaiming it. This is not Trump’s first contemplation of territorial adjustments, as he has previously shown interest in Canada and Greenland during his term as president.
In summary, Trump’s remarks on the Panama Canal signify a potential shift in U.S. foreign policy under his leadership, possibly leading to more confrontational stances with existing allies. His comments highlight the importance of the canal in global trade while also eliciting a swift response from Panamanian officials advocating for their nation’s sovereignty.
Despite the tension, discussions around influential global trade routes like the Panama Canal can prompt both nations to engage in dialogue that enhances mutual understanding and cooperation in international policies.