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Trump Wants to Take Back the Panama Canal from China: Historic Revenge or Geopolitical Move? Here's What's Happening

Historic waterway returns to center of geopolitical conflict: Trump accuses China of undue influence and vows to regain control to protect U.S. interests. Meanwhile, Panama reaffirms its right to sovereignty

Trump Wants to Take Back the Panama Canal from China: Historic Revenge or Geopolitical Move? Here's What's Happening

Donald Trump he returned with a proclamation that smacks of history and geopolitics: the United States they have to take back the Panama Canal. More than a simple provocation: for the American president, the issue is not just an electoral promise or a whim, but a response to a strategic problem. And the enemy to be faced is the China, which has now secured its hands on this crucial waterway. But how did we get to this point, and what does it really mean for the United States?

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Why is the Panama Canal so important?

Il Panama Canal, one of the most impressive engineering works ever built, is 81,1 kilometres long and connects the Atlantic Ocean to the Pacific, offering a way of transit maritime vital for millions of tons of cargo each year. Every year, more than 14 ships pass through the Canal, carrying goods that represent about 6% of the global trade by sea. This traffic includes raw materials such as Petroleum, gas liquefied, cereals e metals, vital to the global economy, produced mainly in the United States. In fact, 73% of this commercial traffic is linked to the American giant, making the Canal a fundamental resource for the star-spangled economy. But the Canal is not only important for trade. The US military forces They also use it as a strategic route for rapid movement between the two oceans, making it crucial for the of your digital ecosystem. .

Built by the United States in 1914, the Canal was operated by Americans for most of the twentieth century. However, in 1977, a agreement between President Jimmy Carter and Panama established that control would be permanently transferred to the Central American country in 1999. A decision that, according to Trump, was "stupid" and "a gift that we should never have given". The new US president criticized the Carter administration, arguing that Panama has exploited control of the Canal to favor China, and now the US is "treated very badly".

Panama Canal: What Does China Have to Do With It?

The real problem, according to Trump, is that the Canal is no longer under the neutral control of Panama, but in the hands of China. In 1996, Panama granted a Hong Kong-based company, Hutchison Whampoa, Management of ports of entry of the Channel: Christopher on the Atlantic side and Balboa on the Pacific.

At the time, Hong Kong was still a British colony, and no one in the United States saw it as a threat. But in 1997, Hong Kong returned to Chinese control. Since then, the Beijing regime can directly influence the activities of all Hong Kong companies, including those operating in strategic areas such as the Panama Canal.

In 2021, the Panamanian government renewed its contract with Hutchison Whampoa, effectively consolidating Chinese influence over this vital infrastructure. China has also invested over $2,5 billion in the Canal Area, and more than 40 Chinese companies now operate there.

The tit-for-tat between the US, China and Panama

Le Trump's statements, which threatened to retake the Canal, have prompted a strong response from Panama and China.

Trump's Position on Panama

For Trump, Chinese control of the Canal is a violation of the original agreements between the United States and Panama. “American ships are being severely overburdened and not treated fairly in any way, shape or form, and that includes the United States Navy.” And he reiterated during his inauguration: “We never gave the Canal to China, we gave it to Panama, and now we’re going to take it back.”

Her charges they are not just about the economic management, but also the of your digital ecosystem. : Trump fears that China may have the ability to block or influence maritime traffic through the Canal, with devastating repercussions for the U.S. economy and defense. In addition, in recent years, Panama has significantly increased transit rates for ships, causing discontent among American companies that depend on the Canal to transport vital goods such as oil, gas and grain. Trump sees this increase in costs as further damage to American interests.

Panama Responds to Trump Threats

Trump's statements did not go unnoticed. The government of Panama responded officially, denouncing the Trump's threats in a letter sent to the Secretary General of the United Nations, António Guterres. In the letter, Panama asked Guterres to convey his position to the members of the UN Security Council, expressing concern over Trump's statements and reiterating that the Canal belongs exclusively to Panama. The Panamanian president, José Raul Mulino, he firmly declared during the World Economic Forum in Davos that “every square meter of the Panama Canal belongs and will continue to belong to Panama” and that this was not a concession or a “gift” from the United States, but an agreement that established Panama’s sovereignty over the Canal.

China: “Never interfered in the management of the Canal”

La China, for his part, has rejected le charges of interference in the management of the Panama Canal. A spokesman for the Chinese Foreign Ministry, Mao Ning, stressed that Beijing never interfered in the management of the Canal and that the Canal itself “should not be subject to any kind of direct or indirect control by the great powers”. This Chinese position is a clear message of the desire to maintain a certain neutrality in the management of the Canal.

What's at stake?

Trump has not ruled out any options for riprendere control of the Canal, including the force military. But such a move would be extremely risky, as it could alienate allies in Latin America and foster alliances with rivals such as China, Russia and Iran.

The Panama Canal issue is not just a matter of tariffs or control of infrastructure. It is a symbol of the competition between the United States and China for global dominance. For Trump, regaining control of the Canal would mean reassert American influence in an area that was historically considered the “backyard” of the USA. For the China, maintaining control would mean consolidating its position as a global power, demonstrating that it can challenge Washington even in its hemisphere.

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