“Trump accused Panama of overcharging the US Navy for transit through the canal and that “the Panama Canal is run by China.””, — write: www.unian.ua
Trump accused Panama of overcharging the US Navy for transit through the canal and that “the Panama Canal is run by China.”
Trump called the transfer of the Panama Canal a “stupid gift” / UNIAN collage, Illustration by REUTERS, screenshotUS President Donald Trump in his inaugural speech vowed to return the Panama Canal – 25 years after the US gave it to Panama. CNN explained why the channel is so important to Trump and what Panama itself thinks about it.Thus, during his speech, Trump called the return of the Panama Canal to Panama a “stupid gift”, saying that Panama charges the US Navy an inflated fee for transit through the canal.
“We were treated very badly because of this stupid gift that should never have been given, and Panama’s promise to us was broken,” he said, adding that “the Panama Canal is controlled by China.”
“And we didn’t give it to China, we gave it to Panama, and we’re taking it back,” Trump emphasized.
As CNN notes, Panama considers the canal central to its national identity and depends on the canal’s lucrative traffic. In 2024, the channel generated nearly $5 billion in total revenue. According to a study published in December by IDB Invest, 23.6% of Panama’s annual income is generated by the canal and companies that provide services related to the canal’s operation.
In 2007, Panama began work on a new set of locks, the largest expansion of the canal in nearly a century. The new locks cost Panama more than $5 billion and were put into operation in 2016. They also more than doubled the sea traffic the canal could handle.
“We paid for it, we built it, and now more than 55 percent of the Panama Canal’s revenue comes from that investment, not from the U.S. investment they made so long ago,” former Panama Canal administrator Jorge Luis Quijano told CNN.
The expanded canal has brought billions of dollars to Panama and helped the country become a bastion of stability in Central America, while other countries in the region suffer from poverty and drug trafficking, fueling migration to the United States.
Trump has already repeatedly noted the profitability and success of the Panama Canal.
“Panama is doing so well with the canal, so many workers, so many jobs,” Trump said in 2011. – “The USA unwisely gave the channel away for nothing.”
Trump’s encroachment on the Panama CanalPreviously, the American president had already accused Panama of receiving too much payment from American ships for passage through the canal. He also stated about the possible influence of China on his work.
The President of the Republic of Panama, Jose Raul Mulino, reacted to such statements by Trump. He declared that the canal was Panamanian and that its administration would continue to remain under Panamanian control with continued neutrality.
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