Trump Criticizes Panama Over Canal Fees, Threatens to Demand U.S. Control

WASHINGTON: Donald Trump accused Panama of imposing “excessive” fees for using the Panama Canal. He warned that if Panama fails to manage the canal acceptably, the U.S. might demand its return.

In a Truth Social post, Trump emphasized the strategic importance of the Panama Canal and warned against potential Chinese involvement. “The canal should never fall into the wrong hands, especially China,” Trump wrote.

Rare Territorial Demand by a U.S. Leader

Trump’s statement marks a rare instance of a U.S. leader openly suggesting the reclamation of sovereign territory from an ally. It underscores Trump’s tendency to adopt aggressive rhetoric in diplomatic matters.

U.S.-Panama Canal History

USA controlled its surrounding territory for decades. The control was fully transferred to Panama in 1999 after a period of joint administration, in line with the Panama Canal Treaty signed under President Jimmy Carter.

Trump’s remarks reflect dissatisfaction with Panama’s fee structure. He described the charges as “ridiculous” in light of the U.S.’s historical role. “This generosity was never meant for others’ benefit,” he wrote, referencing the canal’s transfer as a “magnanimous gesture.”

Strong Words Against Panama

Trump asserted that if Panama did not honor “moral and legal principles,” the U.S. would demand the canal’s return “in full, and without question.”

Expected Diplomatic Shift

The statement highlights Trump’s expected confrontational approach to U.S. diplomacy. As president, he was known for challenging allies and adopting a transactional approach to foreign relations.

No Immediate Response from Panama

The Panamanian embassy in Washington did not provide an immediate response to Trump’s comments. The implications of these remarks for U.S.-Panama relations remain uncertain.

Strategic Importance of the Panama Canal

The Panama Canal remains a critical shipping route connecting the Atlantic and Pacific Oceans. Concerns about its management and potential foreign influence have long been central to U.S. geopolitical strategy.

Trump’s remarks have drawn attention to the significance of the canal and raised questions about his broader foreign policy direction.

This development may test U.S.-Panama relations, prompting discussions about diplomacy, sovereignty, and global strategic interests.