Trump vows to reclaim Panama canal amid rising tensions
President Donald Trump's inaugural speech at the Capitol declared, "We will reclaim the Panama Canal, foolishly handed over to Panama." He also mentioned his intention to sign a "series of historic executive orders."
President Trump expressed concerns about Panama, saying, "Panama has breached our trust and violated the spirit of our cooperation, as American ships are subject to enormous fees. This is unacceptable. Moreover, Chinese ships sail through the Panama Canal, yet we have not handed them over to China. We will reclaim the Panama Canal."
At the end of last year, "Politico" noted that although China has increased its presence in Latin America and a company based in Hong Kong manages two ports at the canal's entrance and exit, no commercial or governmental entity from the People's Republic of China plays a direct role in managing ship movements on this critical waterway. An independent government agency of Panama administers the canal, and recently, Beijing has not made any moves to purchase the canal or increase its presence in the country.
The Panama Canal and the role of the USA
In 1903, the United States signed a treaty with Panama, allowing it to build a canal connecting the Pacific and Atlantic Oceans. Panama earns income from this waterway, and Washington guaranteed the canal's neutrality and controlled the territory on both sides.
The region, known as the Panama Canal Zone, was administered by the United States, and American law applied to its residents. After decades of tension over the canal, President Jimmy Carter's administration signed two treaties in 1977 with Panama's military dictator, Omar Torrijos, to transfer control of this key shipping route by the end of 1999. The USA retains the right to defend the canal against any threat to its neutrality. As "Politico" highlights, analysts do not believe the treaty's provisions will allow Washington to legally regain control of the canal.
The 50-mile Panama Canal is crucial for international maritime transport.