Former U.S. President Donald Trump has sparked controversy by threatening to demand control of the Panama Canal, accusing Panama of imposing unfair fees on American ships using the crucial waterway.
In a statement posted on his Truth Social platform, Trump criticized Panama for what he described as “ridiculous” charges. “Our Navy and Commerce have been treated in a very unfair and injudicious way. The fees being charged by Panama are ridiculous. This complete ‘rip-off’ of our country will immediately stop,” he wrote on Saturday.
The Panama Canal, a key maritime route connecting the Atlantic and Pacific oceans, was largely constructed by the U.S. in 1914. While the U.S. controlled the canal and its surrounding territory for decades, it fully handed over control to Panama in 1999 after a period of joint administration.
Trump also raised concerns about China’s growing influence around the canal, stating, “It was solely for Panama to manage, not China, or anyone else. We would and will NEVER let it fall into the wrong hands!”
This bold statement marks a rare instance of a U.S. leader suggesting that a sovereign nation might be forced to relinquish control of its territory. Trump argued that the original transfer of the canal to Panama was meant as a gesture of cooperation and warned that failure to uphold those principles could lead to U.S. intervention.
“If the moral and legal principles of this magnanimous gesture of giving are not followed, then we will demand that the Panama Canal be returned to us, in full, and without question,” Trump said.
Shift in U.S. Diplomacy
Trump’s comments reflect his broader approach to foreign policy, which often involves leveraging tough rhetoric and threats. His administration frequently employed similar tactics, such as proposing tariffs to pressure allies and adversaries alike.
In a related move last month, Trump announced plans to impose tariffs on Mexican and Canadian imports on the first day of his potential administration. The tariffs, he claimed, would remain in place until Mexico and Canada took action to address the “invasion” of undocumented migrants and drugs into the U.S.
“Both Mexico and Canada have the absolute right and power to easily solve this long-simmering problem. We hereby demand that they use this power, and until such time that they do, it is time for them to pay a very big price!” he declared.
Panama’s Reaction
Panamanian authorities have yet to respond to Trump’s remarks. The Panama Canal remains a vital artery for global trade, with approximately 5% of the world’s maritime traffic passing through it. The canal offers a faster and safer alternative to the hazardous route around South America’s southern tip.
In October, the Panama Canal Authority reported record revenues of nearly $5 billion for the last fiscal year, highlighting the waterway’s critical economic significance.
Trump’s remarks have drawn attention to the strategic and financial importance of the canal, as well as the potential implications of U.S. demands on international relations.