Trump Calls for Return of Panama Canal Over "Unfair" Transit Rates

[Social Media]

 

President-elect Donald Trump has issued a bold ultimatum to Panamanian authorities: either reduce transit fees for U.S. ships using the Panama Canal or relinquish control of the canal back to the United States. His remarks, shared in a flurry of posts on Truth Social, have reignited debates over the canal's role in international trade and sovereignty.  

 

 

Trump's grievances centered on what he described as "unfair and injudicious" treatment of American naval and commercial vessels passing through the canal. In his posts, he criticized previous U.S. administrations for ceding control of the strategic waterway to Panama in 1999, calling the move a "token of cooperation" that had been misused. "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 full, and without question," he stated.  

 

 

Panama's President, Jose Raúl Mulino, swiftly rejected Trump’s demands, reaffirming the nation's sovereignty over the canal. "The sovereignty and independence of our country are not negotiable," Mulino declared in a video response posted on social media. He also emphasized the canal's global importance, describing it as a "mission to serve humanity and its commerce" and a cornerstone of Panama's self-determination.  

 

Trump fired back, quoting Mulino’s response and cryptically adding, "We'll see about that!" He later posted an image of the American flag flying over the canal with the caption, "Welcome to the United States Canal!"  

 

The controversy has reignited discussions about the canal's historical significance and its place in global trade. Originally built and controlled by the United States after an agreement with Panama in 1904, the canal was handed over to full Panamanian control at the end of 1999 under a treaty signed by President Jimmy Carter in 1977. While this agreement guaranteed the canal's neutrality, some critics have viewed the transition as a symbol of colonialism’s lingering legacy.  

 

Today, the Panama Canal remains a critical artery for international commerce, with around 10,000 ships transiting annually. Approximately 70% of those ships are bound for or departing from U.S. ports, representing about 2.5% of global maritime trade. However, recent droughts have limited capacity and driven up transit fees, which Trump called "ridiculous" and "highly unfair" during a speech at the Turning Point Action Conference in Phoenix, Arizona.  

 

Adding to the complexity is China’s growing influence in the canal’s operations. Beijing has invested heavily in the Canal Zone in recent years, raising alarms about its potential impact on the waterway’s neutrality. The Center for Strategic and International Studies warned in 2021 of a "key decision point" for U.S. interests in the region, while the U.S. ambassador to Panama has reportedly cautioned against forcing the nation into choosing between the U.S. and China.  

 

Trump’s comments have drawn sharp criticism from Panamanian officials. National Assembly member Manuel Alberto Samaniego Rodriguez took to social media, calling Trump’s remarks "regrettable" and pledging to defend Panama’s sovereignty "with his life if necessary."  

As the debate unfolds, the Panama Canal remains a focal point of global trade and diplomacy, symbolizing both opportunity and contention in a shifting geopolitical landscape.

 

Based on a report by AXIOS 2024-12-24

 

 

 

[mikebike]

No new wars, eh 😉

[Jingthing]

32 minutes ago, mikebike said:

No new wars, eh 😉

No only against Canada, Mexico  and Panama.

[Olav Seglem]

And he like buy Greenland-again.

Stupid man..

[1duckyboy]

Due to the low water levels supplying  the Panama Canal, the number of ships passing through it has been forced to dramatically decrease, sometimes leaving ships waiting weeks in line to use it. Panama has taken advantage of the situation and raised passage fees to astronomical levels for everyone, not just U.S. ships. There's now an unofficial bidding war among waiting ships to get through the canal.

[thesetat]

he U.S. took over the project in 1904 under President Theodore Roosevelt, and completed construction in 1914. The U.S. paid around $375 million for the canal, which included $10 million paid to Panama and $40 million paid to the French company. At the time, it was the most expensive construction project in U.S. history. 

 

Why should we continue to pay exorbitant fees to use something we paid for and built? Giving them control over it should not have meant losing ownership of it. 

[Skeptic7]

1 hour ago, thesetat said:

he U.S. took over the project in 1904 under President Theodore Roosevelt, and completed construction in 1914. The U.S. paid around $375 million for the canal, which included $10 million paid to Panama and $40 million paid to the French company. At the time, it was the most expensive construction project in U.S. history. 

 

Why should we continue to pay exorbitant fees to use something we paid for and built? Giving them control over it should not have meant losing ownership of it. 

Who owns the Panama Canal?

The short answer: Panama

 

You (intentionally?) left out the part about Panama taking full control of the Canal in 1999...

 

The US continued to control the canal and surrounding Panama Canal Zone until the Torrijos–Carter Treaties provided for its handover to Panama in 1977. After a period of joint American–Panamanian control, the Panamanian government took control in 1999.

 

https://www.theguardian.com/world/2024/dec/23/panama-canal-donald-trump-us-explainer

 

...in 1977 the Government of the United States concluded a treaty with the Government of Panama calling for the gradual transfer of full authority and control over the Panama Canal to the Government of Panama. That process, begun in 1979, culminates in the final transfer of the Canal to Panama at noon on December 31, 1999.

 

https://1997-2001.state.gov/regions/wha/panama/991206_faqs.html

[mikebike]

3 hours ago, 1duckyboy said:

Due to the low water levels supplying  the Panama Canal, the number of ships passing through it has been forced to dramatically decrease, sometimes leaving ships waiting weeks in line to use it. Panama has taken advantage of the situation and raised passage fees to astronomical levels for everyone, not just U.S. ships. There's now an unofficial bidding war among waiting ships to get through the canal.

Upon opening in 1914 it cost the equivalent of $38/ton.

 

Today the cost is $10/ton.

 

😂😂😂😂Astronomical 🤣🤣🤣🤣

 

Where do you get this drivel? Oh wait, I know 🤣🤣

[Purdey]

Stealing assets from other countries? 

Insisting a foreign country obey him? 

Whatever next? 

[mikebike]

Thought of the day. Who trained the Panamanian elite forces charged with guarding the canal? Right, OK. How do you attack a position you trained the defenders to defend 🤔 wouldn't you have run thru all the possible angles of attack and addressed them?

[jippytum]

2 hours ago, thesetat said:

he U.S. took over the project in 1904 under President Theodore Roosevelt, and completed construction in 1914. The U.S. paid around $375 million for the canal, which included $10 million paid to Panama and $40 million paid to the French company. At the time, it was the most expensive construction project in U.S. history. 

 

Why should we continue to pay exorbitant fees to use something we paid for and built? Giving them control over it should not have meant losing ownership of it. 

Informative post. I agree.  makes sense unlike the anti Trump rhetoric on this subject. 

[Chomper Higgot]

3 minutes ago, jippytum said:

Informative post. I agree.  makes sense unlike the anti Trump rhetoric on this subject. 

The anti Trump rhetoric is coming from Trump himself.

[john donson]

5 hours ago, mikebike said:

No new wars, eh 😉

 

a small invasion, no blood shed...

[mdr224]

So Trump wants to take from other countries, am i as an American supposed to be upset when democrats try to give to other countries for nothing in return?

[blazes]

Well, Bush Senior did not hesitate to throw Manuel Nortega into the slammer after invading Panama.

He was one of those S American leaders who was undoubtedly a "son of a bitch" but, at least,as was often conceded, he was "OUR son of a bitch"!

 

Trump (indeed all American politicians) have history on their side when it  comes to ruling the roost in Panama.

[FritsSikkink]

2 hours ago, thesetat said:

he U.S. took over the project in 1904 under President Theodore Roosevelt, and completed construction in 1914. The U.S. paid around $375 million for the canal, which included $10 million paid to Panama and $40 million paid to the French company. At the time, it was the most expensive construction project in U.S. history. 

 

Why should we continue to pay exorbitant fees to use something we paid for and built? Giving them control over it should not have meant losing ownership of it. 

Because it isn't in your country.

[G_Money]

Jimmy Carter.  The best friend Panama ever had.

[Yagoda]

7 minutes ago, FritsSikkink said:

Because it isn't in your country.

Its a new world: we decide what is your country or not, especially when we are paying your freight.