President-Elect Accuses Panama of Overcharging for Use of Panama Canal
A cargo ship leaves the Panama Canal in Panama City on June 17, 2024. Martin Bernetti | APF | Getty Images
President-elect Donald Trump on Saturday accused Panama of charging excessive rates for use of the Panama Canal, warning that if Panama did not manage the canal in an acceptable fashion, he would demand the U.S. ally hand it over. In a post on Truth Social, Trump also cautioned that the canal should not be managed by China.
The post is an unprecedented example of a U.S. leader suggesting they could push a sovereign country to hand over territory. It also underscores an expected shift in U.S. diplomacy under Trump, who has not hesitated to threaten allies and use bellicose rhetoric in dealings with counterparts.
The United States largely built the canal and administered the surrounding territory for decades. However, the U.S. government fully handed control of the canal to Panama in 1999 after a period of joint administration.
The fees being charged by Panama are ridiculous, especially knowing the extraordinary generosity that has been bestowed to Panama by the U.S.,” Trump wrote. “It was not given for the benefit of others, but merely as a token 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 full, and without question.
The Panamanian embassy in Washington did not immediately respond to a request for comment.
