Donald Trump has threatened to retake control of the Panama Canal unless the transit fees imposed on US ships are significantly reduced. In a series of social media statements, he described the current fees as “ridiculous” and detrimental to America’s economic interests.
Concerns Over Transit Fees
The president-elect emphasized that the Panama Canal, a crucial maritime route connecting the Atlantic and Pacific Oceans, is essential for US trade and security. He criticized the management of the canal, claiming it operates in an “unfair” manner that harms US interests.
Historical Context
Trump pointed to the 1977 agreement that transferred control of the canal from the US to Panama as a cooperative gesture. However, he insisted that this arrangement should not come at the expense of American shipping interests. He stated, “This complete rip-off of our country will immediately stop.”
Strategic Importance of the Canal
Approximately 14,000 ships navigate the Panama Canal each year, with US vessels accounting for about 75% of the traffic. The canal has historically played a critical role in global shipping, significantly shortening travel times for maritime routes.
China’s Involvement
Trump expressed concerns about potential foreign influence over the canal, specifically mentioning China. While there is no indication that China seeks to acquire the canal, the country’s involvement in infrastructure projects in Panama has raised alarms regarding its strategic intentions.
Next Steps
The government of Panama is aware of Trump’s statements and is expected to respond in the coming days. The situation highlights ongoing tensions surrounding the management and economic implications of the Panama Canal.