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Trump's Panama Canal

In a move that has reignited debates over American foreign policy and territorial ambitions, President Donald Trump has recently threatened to reclaim control of the Panama Canal, a strategic waterway that has been under Panamanian sovereignty since 1999. This assertion has not only strained U.S.-Panama relations but also raised concerns about the potential resurgence of American expansionism.


The Panama Canal, completed in 1914, was a monumental feat of engineering that significantly shortened maritime trade routes between the Atlantic and Pacific Oceans. For decades, it symbolized American ingenuity and strategic dominance. However, in 1977, under the Torrijos-Carter Treaties, the United States agreed to transfer full control of the canal to Panama, a process completed on December 31, 1999. Since then, the Panama Canal Authority (ACP) has managed the waterway, ensuring its neutrality and efficient operation.


In December 2024, President Trump criticized the fees imposed on U.S. vessels transiting the canal, labeling them as "exorbitant" and alleging violations of the Torrijos-Carter Treaties. He further claimed that the canal was "falling into the wrong hands," insinuating undue Chinese influence over its operations. These statements culminated in a bold declaration: the United States would "take back" the Panama Canal if necessary.


Panama's leadership swiftly refuted these allegations. President José Raúl Mulino emphasized that the canal remains under Panamanian control and that the fee structures are applied uniformly to all nations. He affirmed that the canal is an "inalienable patrimony" of Panama and that its sovereignty is non-negotiable. The ACP also clarified that there have been no changes to the toll structures and that they remain open to dialogue with U.S. authorities regarding the transit of vessels.


The situation escalated when U.S. Secretary of State Marco Rubio visited Panama, urging the reduction of Chinese influence in the canal area and suggesting that U.S. government vessels should be granted toll waivers. While initial reports from the U.S. State Department indicated that Panama had agreed to such concessions, the ACP denied any such agreements, stating that no changes had been made to the existing toll policies.


These developments have sparked significant concern within Panama and the broader international community. Many Panamanians view the canal as a cornerstone of their national identity and are wary of foreign intervention. Protests erupted in Panama City, with citizens expressing their opposition to what they perceive as a threat to their sovereignty. The Bolivarian Alliance for the Peoples of Our America (ALBA), comprising several Central and South American countries, also denounced Trump's statements, affirming their support for Panama's territorial integrity and self-determination.


Analysts suggest that President Trump's assertions may be part of a broader strategy to counter China's growing global influence. China has invested heavily in infrastructure projects worldwide, including in Panama, leading to concerns in Washington about potential strategic implications. However, experts argue that the canal's neutrality and operational integrity have not been compromised and that aggressive U.S. actions could inadvertently push Panama closer to China.

The controversy also touches upon historical sensitivities. The U.S. invasion of Panama in 1989 and the subsequent transfer of the canal have left a lasting impact on Panamanian society. Any suggestion of reversing this transfer is met with strong resistance from both the government and the populace.


In conclusion, President Trump's threat to reclaim the Panama Canal has opened a complex geopolitical debate, intertwining issues of national sovereignty, international diplomacy, and global strategic balance. As the situation unfolds, it will be crucial for all parties involved to navigate these waters carefully, respecting historical agreements and the principles of mutual respect and cooperation.

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