A Brewing Storm: US-Panama Tensions Flare Over Canal Sovereignty
Recent statements from President Donald Trump have ignited a diplomatic firestorm, with the Panama Canal at its epicenter. Trump has declared that the United States may demand the return of the Panama Canal, citing concerns over unfair treatment and exorbitant fees charged to American vessels and corporations.
Trump’s Position: A “Vital National Asset” at Stake
Trump outlined his stance in a detailed statement, emphasizing the Panama Canal’s critical importance to the U.S. economy and national security. He highlighted:
- Economic Lifeline: The Canal is crucial for U.S. commerce, with over 70% of transits heading to or from U.S. ports, drastically reducing shipping times.
- National Security: A secure Canal is vital for the rapid deployment of the U.S. Navy between the Atlantic and Pacific oceans.
- Historical Investment: Trump underscored the “huge cost” in American lives and treasure to build the Canal, noting that 38,000 American men died during its construction. He referenced the equivalent of $1.2 trillion in today’s money.
- Carter’s “Foolish” Giveaway: He criticized President Jimmy Carter for “foolishly” giving away the Canal for $1, asserting it was intended for Panama to manage, not for other nations like China, and not to exploit the U.S. with high fees.
- Unfair Treatment: Trump alleges that the U.S. Navy and commerce have been treated unfairly, with Panama charging “ridiculous” and “exorbitant prices.” He stated this “complete ripoff” will immediately stop.
- Conditional Agreement: He argues that the Canal was given as a “token of cooperation,” with the understanding that the U.S. would be treated fairly. If these principles are not followed, he will demand its return.
Panama’s Staunch Response: Sovereignty is “Non-Negotiable”
Panama’s President, Jose Raul Mulino, who was elected earlier this year on a pledge to bring the country closer to the United States, has firmly rejected Trump’s claims.
- Unyielding Sovereignty: President Mulino stated, “every square meter of the Panama Canal and its adjoining Zone in Panama is Panama’s and will remain so. The sovereignty and independence of our country is non-negotiable.”
- National Pride: He emphasized that the Canal is an integral part of Panama’s history and is carried in the heart of every Panamanian.
- Dispute Over Fees: Mulino also disputed Trump’s complaints that U.S. vessels were being charged unfairly.
The Stakes: More Than Just a Waterway
This escalating rhetoric comes at a time of geopolitical maneuvering, with China’s increasing influence in the region through initiatives like the Belt and Road. Trump’s comments also touched upon this, expressing concern about the Canal potentially falling into the “wrong hands.”
Beyond Panama: Trump’s Broader “America First” Vision
The discussion around the Panama Canal is part of a larger theme in Trump’s foreign policy outlook. He also recently announced his choice for ambassador to Denmark, Ken Howry, and reiterated his interest in the U.S. acquiring Greenland, stating its “ownership and control… is absolutely a necessity” for national security. This suggests a potential return to a more assertive, “imperial” approach to foreign relations if he were to be re-elected, focusing on securing American interests and resources globally.
The situation remains fluid, with both sides standing firm. Trump has put Panama “on notice,” and the world watches to see how this high-stakes dispute over one of the world’s most critical waterways will unfold.
