Trump threatens Panama over canal transit fees

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Lerato Khumalo

“rip off”

Trump threatens Panama: “Then we will demand the canal back”


12/22/2024 – 1:44 a.mReading time: 2 minutes

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Donald Trump in Mar-a-Lago: The US President-elect has now threatened Panama. (Source: Brian Snyder)

What he says are high fees for transit through the Panama Canal make Donald Trump angry. Now he threatened the state with a withdrawal.

In a post on his Truth Social platform, former US President Donald Trump strongly criticized the management of the Panama Canal and threatened to reclaim it. The canal has been an essential trade route for more than 110 years and also has strategic importance for the USA. “The Panama Canal was built at enormous sacrifice and expense by the United States. The current fees and practices are a complete ‘rip-off’ of our country,” Trump wrote. He particularly criticized the high transit fees that had to be paid by the US Navy and American companies, even though the canal was originally intended to be a sign of cooperation between the US and Panama.

The Panama Canal was handed over to Panama in 1977 following an agreement between then-Presidents Jimmy Carter and Omar Torrijos, but remained under US control until 1999. Now Trump is questioning the treaty. Legally, this is difficult because the agreement states that the US only has the right to defend the canal. Other claims, such as the collection of fees for passage, were ceded to Panama.

Trump demanded that the “unjustified burden” on the United States must end immediately. He suggested that the return of the canal to the United States might become necessary if Panama fails to abide by moral and legal principles.

The idea of ​​a canal through the Isthmus of Panama dates back to the 16th century, when the Spanish colonial power considered a connection between the two oceans. Construction began in France in the 19th century, under the direction of the engineer Ferdinand de Lesseps, who also built the Suez Canal. However, this project failed in 1889 because many construction workers suffered from tropical diseases such as malaria and yellow fever. There were also technical and financial difficulties.

In 1904, the United States took over the project after supporting Panama in its war of independence against Colombia. Construction began under the leadership of President Theodore Roosevelt and was completed in 1914. The canal is important strategically and economically and because it significantly shortens the sea route between the two oceans. Previously, ships had to travel long distances around Cape Horn in southern Chile. The channel remained under US control until 1999.