President-elect Donald Trump has criticized the government of Panama for imposing what he called "exorbitant" fees on American shipping and suggested that the United States could seek to regain control of the Panama Canal if the situation does not change.
In a post on his Truth Social network account, Trump described the fees charged by Panama as "ridiculous" and accused the country of abusing its control over the canal.
He emphasized how America constructed the canal in 1914 and how it is crucial to American trade, with over 70 percent of the cargo passing through the canal either originating in or destined for the United States.
Trump also criticized the 1977 Torrijos-Carter Treaties, which transferred control of the canal to Panama in 1999, calling the decision "foolish." He argued that the canal was intended for Panama to manage, not for other nations, such as China, to exert influence. His comments reflect concerns about Chinese investments in infrastructure near the canal, including ports and a bridge, though Panama has denied any foreign control over the waterway.
Panamanian President Jose Raul Mulino responded firmly to Trump's remarks, asserting Panama's sovereignty over the canal. Mulino stated that the canal’s tariffs are set transparently and are necessary to fund its maintenance and expansion. He emphasized that the Panama Canal Authority, an autonomous government agency, oversees its operations and that Panama has made significant investments to modernize the canal.
"The tariffs are not set on a whim," Mulino said, addressing Trump's complaints about rising fees. He noted that the canal's revenue, which reached nearly $5 billion in the last fiscal year, is vital to Panama’s economy, contributing about one-fifth of the government's annual revenue. (Related: Trump demanding NATO members spend 5% of GDP on defense – may impose TARIFFS on allies that do not pay up.)
The Panama Canal, a 51-mile waterway connecting the Atlantic and Pacific Oceans, is a cornerstone of global trade, handling approximately five percent of world commerce. Its strategic importance has made it a focal point of geopolitical discussions, particularly as severe weather and operational challenges impact its operations.
In 2023, droughts in Central America forced the canal to reduce the number of daily ship crossings it allowed, leading to increased fees for reserving transit slots and increased prices worldwide.
Trump's comments have sparked debate over the feasibility of the U.S. reclaiming control of the canal. While he did not specify how such a move would be achieved, his remarks have drawn strong reactions from Panamanian officials and citizens. Mulino reiterated that "every square meter of the canal belongs to Panama and will continue to belong" to the country, underscoring national unity on the issue.
The exchange highlights the complex history of U.S.-Panama relations, which have been shaped by the canal's construction, the 1989 U.S. invasion to oust Panamanian leader Manuel Noriega, and the eventual transfer of canal control to Panama in 1999.
Trump's suggestion of reclaiming the canal has raised questions about the potential impact on bilateral relations and the canal's role in global trade.
Watch this clip from Newsmax featuring political commentator Corey Lewandowski discussing what Trump asserting a desire to retake the Panama Canal says about American global dominance.
This video is from the NewsClips channel on Brighteon.com.
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2 months ago
Who gave the canal the Chinese and why?
2 months ago • edited
Trump and Musk are also discussing increasing H-1B visas to bring in more foreign tech workers while the unemployment rate for American tech workers is already at record levels and skyrocketing.
Pay close attention to the new incoming treasury secretary, specifically his intentions on the IRS and the national flat sales or income tax. For example, it is not so flat after all and believes a flat rate sales tax of 20% for a middle class family grocery bill is fair but the same 20% tax on a $2 million dollar yacht is unfair and should be adjusted down to 5% or less. I am certain that 20% flat tax on the food bill will hurt a working family more than 20% on those who can afford a $2 million dollar yacht.
I am happy to see Trump back as President but I do not trust the snakes in his cabinet.
The devil is in the details. Pay close attention the coming months.
2 months ago
"F" the Panama Canal, build a bigger and wider Canal from Commiefornia to the Gulf of Mexico, it would be a win-win creating jobs, decreasing illegal invasion better than a crap fence while possibly getting the shipping companies to chip in on the costs!!!