Trump threatens to reclaim the Panama Canal
In 1999, the U.S. transferred control of the canal to Panama as part of a treaty established during the Carter administration.
In two extensive posts on Truth Social Saturday evening, Trump alleged that Panama was imposing excessive fees on U.S. vessels using the crucial canal. He further contended that the treaties which granted Panama control over the canal also included provisions that would enable the U.S. to regain it.
“If the principles, both moral and legal, 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 wrote.
The reasons behind Trump's remarks on the canal remain unclear. Despite China’s growing influence in Latin America over the last two decades, and a Hong Kong-based firm overseeing the two ports at either end of the canal, no Chinese commercial or governmental agency is involved in managing vessel traffic through this vital passage.
The Panama Canal is governed by an independent Panamanian agency known as the Panama Canal Authority, and there have been no public indications from China about purchasing the canal or expanding its presence in Panama recently.
In the meantime, Panama has recently elected José Raúl Mulino as its president, who has committed to strengthening ties with the United States.
In 1903, the U.S. and the newly independent Panama signed a treaty that permitted the construction of a long-anticipated canal connecting the Pacific and Atlantic oceans. The agreement allowed the U.S. to benefit from revenues generated by the canal while guaranteeing the canal's neutrality and maintaining control over adjacent land, collectively known as the Panama Canal Zone, which was governed by U.S. law.
However, following years of tensions surrounding the canal, the Carter administration forged two treaties in 1977 with Panama’s military leader, Omar Torrijos, to facilitate the transfer of control of this essential shipping route to Panama. According to these agreements, Panama was to assume control by 1999 while the U.S. retained the right to defend the canal's neutrality.
Nevertheless, analysts cast doubt on the notion that these treaty provisions would legally permit the United States to reclaim control of the canal.
Mark B Thomas contributed to this report for TROIB News