Panama Rejects Trump Claim On Panama Canal

January 21, 2025
Panama Canal congestion affecting container shipping

 

Panama Rejects Trump Claim On Panama Canal

 

Panama’s President Jose Raul Mulino has rejected a claim by Donald Trump that the US will “take back” the Panama Canal by saying the route “is and will remain” in the country’s hands.

President Trump claimed this week that Panama had broken a promise to the US that the waterway would remain neutral, stating “American ships are being severely overcharged and not treated fairly in any way, shape or form and that includes the United States Navy. And above all China is operating the Panama Canal and we didn’t give it to China, we gave it to Panama, and we’re taking it back.”

One Hong Kong business operates two ports on the waterway, which seems to have led to Trump’s nominee for secretary of state saying last week “the very legitimate concern is these companies control both ends of this canal. At a time of conflict, the Chinese tell them ‘shut it down and don’t let the US go through there’ we got a big, big problem. A big economic problem and a big national security and defence problem”.

The canal was originally built by the US early last century and remained under their control until a treaty was agreed with Panama in 1977 that gradually gave them control of the waterway, which Trump has branded as “a big mistake”.

By 1999, Panama took over full control of the canal with a treaty in place that it would remain neutral and open to vessels of all nations. The canal has become one of the world’s most important gateways and is the only water crossing point for container ships on the continent between the Atlantic and Pacific oceans.

Following Trump’s claims, President Mulino has rejected his words in their entirety, stating there is “no presence of any nation in the world that interferes with our administration”.

 

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