Panama rejects Trump's claims about reclaiming the Panama canal
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The Panama Canal, a crucial artery for global trade, handles approximately 5% of the world's maritime traffic and 40% of US container shipments.
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Panamanian President-elect Jose Raul Mulino meets with the press in Panama City, May 7, 2024 (AP)
Panamanian President José Raúl Mulino has strongly refuted claims by US President Donald Trump that the United States is in the process of reclaiming the Panama Canal. In a statement posted on social media platform X, Mulino accused Trump of spreading falsehoods and undermining Panama's national dignity.
"Once again, President Trump is lying. The Panama Canal is not in the process of recovery," Mulino wrote. He added, "I reject, on behalf of Panama and all Panamanians, this new affront to the truth and to our dignity as a nation."
Nuevamente miente el Presidente Trump. El Canal de Panamá no está en proceso de recuperación y mucho menos es la tarea que en nuestras conversaciones con el Secretario Rubio ni ningún otro se haya ni siquiera conversado. Rechazo a nombre de Panamá y de todos los panameños esta…
— José Raúl Mulino (@JoseRaulMulino) March 5, 2025
The controversy stems from Trump's recent speech to Congress, where he asserted that his administration had begun efforts to regain control of the strategically vital waterway. "To further enhance our national security, my administration will be reclaiming the Panama Canal, and we've already started doing it," Trump declared. "We're taking it back."
These remarks come amid heightened US pressure on Hong Kong-based firm Hutchison, which operates key ports at both ends of the canal. On Tuesday, Hutchison announced it had agreed to sell a 90% stake in its Panama Ports Company (PPC) and other non-Chinese ports to a US-led consortium, including asset manager BlackRock, for $19 billion.
Read more: BlackRock to buy Panama Canal ports : FT
The Panama Canal, a crucial artery for global trade, handles approximately 5% of the world's maritime traffic and 40% of US container shipments. Since 1999, it has been managed by the Panama Canal Authority (ACP), an autonomous entity overseen by Panama's government.
Trump has repeatedly voiced concerns about Chinese influence over the canal, despite Beijing's denials of any involvement. He has also refused to rule out military action to regain control, a stance that has provoked widespread anger in Panama, including protests and a formal complaint to the United Nations.
