President of Panama fires back at Trump: Canal 'belongs to Panama'

Panamanian President José Raúl Mulino shot back Sunday after President-elect Trump suggested the Panama Canal return to U.S. control. “As president, I want to express clearly that every square meter of the Panama Canal and its adjacent zone belongs to Panama, and will continue to do so,” Mulino said in video statement, according to an...

Dec 23, 2024 - 02:00
President of Panama fires back at Trump: Canal 'belongs to Panama'

Panamanian President José Raúl Mulino shot back Sunday after President-elect Trump suggested the Panama Canal return to U.S. control.

“As president, I want to express clearly that every square meter of the Panama Canal and its adjacent zone belongs to Panama, and will continue to do so,” Mulino said in video statement, according to an English translation. “The sovereignty and independence of our country are not negotiable.”

“The canal is not under direct or indirect control, neither by China, nor by the European community, nor by the United States, nor by any other power,” Mulino said. “As a Panamanian, I strongly reject any manifestation that distorts this reality.”

“Panama respects other nations and demands respect,” he added.

Trump, on Sunday, suggested to a conference of his supporters that the Panama Canal be returned to U.S. control, vowing swift action over the matter after he takes office in less than one month.

“It was given to Panama and to the people of Panama, but it has provisions. You got to treat us fairly and they haven’t treated us fairly,” Trump said at Turning Point’s “American Fest.”

“If the principles, both moral and legal, of this magnanimous gesture of giving are not followed, then we will demand that the Panama Canal be returned to the United States of America in full, quickly and without question,” Trump added.

When an audience member yelled, "take it back," Trump replied, "That's a good idea."

Trump also accused the Central American country of charging excessive fees for ships that use the canal to cross between the Pacific and Atlantic oceans.

Panama charges tariffs for boats and ships to make use of the canal. Fees can vary based on the size and purpose of the vessels, ranging from $0.50 to $300,000. The U.S. handed Panama control of the canal in 1999.

“Has anyone ever heard of the Panama Canal?” Trump told the crowd at “America Fest.” “Because we’re being ripped off at the Panama Canal like we’re being ripped off everywhere else.”

“The fees being charged by Panama are ridiculous, highly unfair,” Trump said.

In the video statement, Mulino pushed back at Trump's attack on the fees, noting that the Panama Canal has grown since Panama has overseen its management and that the rates were fair.

“Rates are not a whim,” Mulino said. “They are established publicly and in an open hearing, taking into account market conditions, international competition, operating costs and the maintenance and modernization needs of the interoceanic route.”

“This is how we achieved the expansion of the canal in 2016, which today represents greater economic and commercial growth, generating more wealth and opportunities throughout the world and its trade,” he added.

Mulino said he hopes to maintain a strong relationship with the incoming Trump administration and noted several issues he hopes to collaborate on.

“With the new U.S. government, I hope to preserve and maintain a good and respectful relationship. Security issues such as illegal migration, drug trafficking and organized crime must be a priority on our bilateral agenda, as they are a real threat that should concern us greatly,” he said.

He said the interests of his own country will always come first.

“We Panamanians may think differently on many issues, but when it comes to our canal and our sovereignty, we all unite under a single flag, that of Panama,” he said. “We are a country open to dialogue, today and always, to investments and good relations, but with the clear motto that the country comes first.”

 “That, for this Panamanian president, is not negotiable."