Trump threatens to regain control of the Panama Canal; the isthmus turns

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The president-elect of the United States, Donald Trump, threatened to regain control over the Panama Canal, accusing the isthmus of charging excessive fees for using it, unleashing a firm response from the Central American government, which reaffirmed its sovereignty over the passage between the Pacific oceans. and Atlantic.

In a post Saturday night on his Truth Social social network, Trump also warned that he would not let the channel fall into the “wrong hands,” and appeared to warn of possible Chinese influence in the move, writing that the channel should not be administered by the Asian giant.

China does not control or manage the channel. However, a subsidiary of CK Hutchinson Holdings in Hong Kong operates two ports located at the Caribbean and Pacific entrances of the canal, respectively.

The message was an extremely rare example of an American leader saying he could pressure a sovereign country to give him territory. It also underscores an expected shift in American diplomacy under Trump, who historically has not shied away from threatening allies and using bellicose rhetoric when dealing with his counterparts.

“The tariffs Panama is charging are ridiculous, especially knowing the extraordinary generosity that has been granted to Panama by the United States,” Trump wrote in Truth Social.

“It was not granted for the benefit of others, but simply as a show of cooperation with us and Panama. “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 its entirety, and without questions,” he wrote.

On Sunday afternoon, the Panamanian president, José Raúl Mulino, reacted through a message to the nation and assured that “every square meter of the Panama Canal and its adjacent area belongs to Panama and will continue to be so. The sovereignty and independence of our country are not negotiable.”

“The rates are not a whim, they are established publicly (…) considering market conditions, international competition, operating costs,” he said.

Mulino added that neither China nor any other world power has control, direct or indirect, over the interoceanic route.

Around 3.1% of Panama’s GDP comes from the Canal but the isthmus’s economy revolves around activity in the passage.

REJECTION

Criticism of Trump’s statements multiplied among politicians and various personalities in Panama.

“President-elect Trump’s statements about the Panama Canal are unfortunate,” said Alberto Alemán, administrator of the Canal between 1996 and 2012. “The transfer of the Canal to Panama was a long process of struggle, sacrifice, complex negotiations and historic efforts of both countries.”

The United States largely built the canal and administered the territory surrounding the pass for nearly a century. But both countries signed the Torrijos-Carter treaties in 1977, which paved the way for the canal to return to Panamanian control as of the last day of 1999.

“Any contrary opposition (to the treaties) lacks validity or support on the face of the earth. Our channel has the mission of serving humanity and its commerce,” said Mulino.

The waterway, which allows up to 14,000 ships to cross annually, accounts for 2.5% of global maritime trade and is critical to U.S. imports of automobiles and commercial goods on container ships from Asia, and to U.S. exports of raw materials. , including liquefied natural gas (LNG).

It’s unclear how Trump would try to regain control over the canal, and he would have no recourse under international law if he decided to make a play for the passage.

This is not the first time that Trump has openly considered territorial expansion.

In recent weeks, he has repeatedly mulled over the possibility of turning Canada into an American state, although it is unclear how serious he is about the issue.

During his first term (2017-2021), Trump expressed interest in purchasing Greenland, an autonomous territory of Denmark. He was publicly rejected by Danish authorities before talks could take place.

With information from Reuters.

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