In brief
Panamanian President José Raúl Mulino has disputed Donald Trump's allegations about Chinese soldiers at the Panama Canal and the U.S.'s rights to reassess control over the strategic waterway, asserting that the canal is entirely owned by Panama and dismissing any potential negotiations regarding shipping tolls.
Amidst rising tensions, Panamanian President José Raúl Mulino has taken a stand against U.S. President-elect Donald Trump's recent claims about the Panama Canal, characterizing them as "nonsense." The controversy erupted after Trump suggested that the U.S. might attempt to reclaim control over the canal due to perceived unfair shipping rates charged by Panama.In a post on his Truth Social account, Trump provocatively stated, “Merry Christmas to all, including to the wonderful soldiers of China, who are lovingly, but illegally, operating the Panama Canal.” Mulino countered this statement, asserting, “There is not a single Chinese soldier in the canal,” and underscoring that there is no foreign interference present. The president emphasized that there would be no discussions regarding the reduction of tolls for U.S. vessels or any transfer of control. He firmly reiterated, “The canal is Panamanian and belongs to Panamanians. There's no possibility of opening any kind of conversation around this reality.”Relations between Panama and China, established after severing ties with Taiwan in 2017, have been described by Mulino as “respectful” and beneficial for both nations. His remarks followed Trump's suggestion to nominate Kevin Marino Cabrera, a Florida lawmaker with ties to his 2020 campaign, as U.S. ambassador to Panama.Trump's rhetoric about Panama includes claims that the country is “ripping us off” concerning toll fees. He stated, “The fees being charged by Panama are ridiculous, highly unfair,” and warned that if adjustments are not made, he would demand the canal's return to U.S. control “in full, quickly and without question.” Despite China's significant involvement in the canal as the second-largest user, the situation remains complex, especially following a historic drought that has increased transit costs across the 51-mile (82 km) waterway, vital for approximately 14,000 vessels annually. Historically, the U.S. maintained control over the canal until 1977, with full authority transferred to Panama by 1999. As tensions rise, the likelihood of any territorial negotiations appears slim amidst strong assertions from Panamanian leadership.
