A diplomatic dispute between Panama and the United States intensified as both nations disagreed over canal passage fees for government vessels.
According to Daily Post Nigeria, Panamanian President Jose Raul Mulino strongly rejected the U.S. State Department's assertion that Panama had agreed to provide free passage for American government vessels through the Panama Canal.
The controversy erupted after talks between Mulino and U.S. Secretary of State Marco Rubio last weekend. The State Department's social media post claiming Panama's agreement to waive transit fees for U.S. government vessels sparked immediate backlash from Panamanian authorities. The Panama Canal Authority promptly denied making any adjustments to its existing tariff structure.
US administration pushes for control over strategic waterway
Former U.S. President Donald Trump, who recently won the November election, has maintained an aggressive stance regarding the canal's operation.
Trump has repeatedly refused to dismiss the possibility of using military force to seize control of the waterway. His administration has expressed particular concern about the canal's strategic importance, noting that approximately 40 percent of U.S. container traffic passes through this crucial maritime route.
Trump and Rubio have voiced strong criticism regarding Chinese investment in the canal infrastructure. They specifically point to a Hong Kong-based firm's operation of ports along the waterway. Both American politicians warn about the potential risks of Beijing restricting U.S. access during times of crisis.
The State Department's announcement about free passage claimed the arrangement would result in significant financial savings for the U.S. government. However, naval vessels constitute only a small fraction of total canal traffic.
Panama defends sovereignty amid escalating tensions
President Mulino addressed the media regarding the controversial U.S. claims, stating:
The US statement about the waterway was intolerable, stressing that he rejected bilateral relations based on lies and falsehoods.
The Panamanian government has consistently maintained its position as the sole authority over canal operations. Officials have repeatedly dismissed Trump's allegations about Chinese influence in canal management. Panama emphasizes its commitment to maintaining neutrality and ensuring fair access to all nations using the waterway.
The dispute highlights ongoing tensions between the two countries over the strategic waterway, which the United States built more than a century ago before transferring control to Panama. The canal serves as a vital link between the Caribbean Sea and the Pacific Ocean, making it crucial for global maritime commerce.
Future implications of Panama US relations
The current diplomatic row between Panama and the United States centers on canal access rights and operational control. Panama maintains its position as the legitimate administrator of the Panama Canal, rejecting U.S. claims about free passage agreements and Chinese influence.
The dispute reflects broader geopolitical tensions involving American interests in the region and concerns about the growing Chinese economic presence in Latin America.
The controversy has significant implications for international maritime commerce and regional diplomacy. With Trump's recent election victory and his administration's stance on canal operations, the situation may lead to further diplomatic challenges between the two nations. The Panama Canal Authority continues to assert its right to set and maintain tariffs for all vessels, including those operated by foreign governments.