Donald Trump, the president-elect of the United States, stirred up significant controversy during his recent rally held on December 17, 2023, when he suggested he might seek to retake control of the Panama Canal from Panama, which he described as being unfairly managed. Speaking at the Turning Point USA event in Phoenix, Arizona, Trump asserted, "The fees being charged by Panama are ridiculous, highly unfair, especially knowing the extraordinary generosity bestowed to Panama by the United States." He characterized the canal as "a national asset" and proclaimed his intention to reclaim it if the current management did not meet his expectations.
The Panama Canal, which accounts for approximately 2.5% of global seaborne trade, underwent U.S. control for decades until it was fully transferred to Panama following treaties signed by President Jimmy Carter. The transfer was finalized on December 31, 1999. With this historical backdrop, Trump's comments represent not only bold rhetoric but also reflect his administration's potential approach to foreign policy.
Trump’s performance was marked by his characteristic brashness. "It will be returned to us, and that's without question," he claimed, reflecting his frustration over supposed exorbitant tolls levied for shipping through this major global trade route. His remarks echoed his long-standing populist themes, positioning him against perceived elite interests, and fueling his supporter base's disdain for foreign entities.
Prompted by concerns over potential Chinese influence near the canal, Trump warned, "We will NEVER let it fall to the wrong hands!" This rhetoric cast the threat of U.S. control over sovereign territory, which has seldom been articulated by previous U.S. leaders since the canal's transfer, presenting it as if it were still under American purview. This bold declaration ignited fears of possible confrontational actions from the incoming administration.
Panamanian President José Raúl Mulino swiftly responded to Trump's declarations, firmly stating, "Every square meter of the Panama Canal and its adjacent zones belongs to Panama and will continue belonging to Panama." Mulino's message, shared via social media, underscored Panama's sovereignty, which is enshrined under international law. He emphasized the importance of maintaining respect among nations, stating, "Panama respects other nations and demands respect."
Mulino's statements sought to quell fears and clarify Panama's stance on its management of the canal, asserting, "The tolls are not set on a whim," and reiterated, "Our independence is non-negotiable." His defense of the current toll structure hinged on it being based on operational costs and market demand, highlighting the legitimate financial underpinnings of the canal's operations.
The broader political significance of this exchange between Trump and Mulino cannot be overlooked. Trump's comments signal potential shifts away from traditional diplomatic norms, showcasing his frequent use of incitement and confrontation over cooperation. This behavior aligns with past instances during his term when he employed aggressive trade rhetoric against allies and non-allies alike, often leveraging economic tools to achieve political goals.
The Panama Canal’s strategic significance for the U.S. is indisputable: it enables fast commercial shipping between the Atlantic and Pacific Oceans, highly benefiting American imports and exports. Shipping through this passage is not only economically advantageous but also central to U.S. military logistics, securing American interests globally.
Trump's looming threat to demand the canal’s return, though legally unfounded, resonates on grassroots levels, allowing him to tap deeply rooted nationalistic sentiments. His remarks also reopen debates about U.S. territorial ambitions, as they echo past controversies - including his interest in purchasing Greenland and musings about the potential incorporation of Canada as the next U.S. state. Such discussions are often dismissed as fanciful but perchance reveal deep-seated impulses to reshape geopolitical boundaries.
Despite the fervor of Trump's rhetoric, it remains unclear what practical measures he might pursue to reclaim control over the canal and how such actions would be received both domestically and abroad. The Panamanian government, equipped with historical treaties protecting its rights, seems prepared to defend its position strongly. Indeed, international law is unlikely to favor any unilateral assertions of control by the U.S. over territory it legally relinquished decades ago.
Trump's comments about the canal have generated significant discourse about U.S.-Panamanian relations and broader dialogues on international law, national sovereignty, and the changing dynamics of global trade. Panamanian officials, political analysts, and even casual observers will be watching closely to gauge how far Trump's administration will go to assert its interests abroad.
The resilience of Panama’s claims to the canal emphasizes historical lessons learned about colonialism and interventionism, mirroring sentiments long held by Panamanians who have stepped out of the long shadow of American dominance. The upcoming administration will need to tread cautiously as it navigates these complex waters, for the canal is much more than just a strategic asset; it is emblematic of respect, rights, and the sovereignty of nations.
