Panama Maritime Review 24/25
Panama Maritime Review 2024-2025
The report brings an exclusive insight into the country's maritime, logistics, legal affairs and port sectors featuring in-depth interviews with key industry players.
The latest news and developments from Panama, one of the world’s most important shipping nations.
Panama President José Raúl Mulino has rejected a statement by US President Donald Trump that America will take back control of the Panama Canal.
In his inauguration speech on Capitol Hill US President Trump repeated claims, he made last month that the Panama Canal was under the control of China.
“And above all, China is operating the Panama Canal. And we didn't give it to China, we gave it to Panama, and we're taking it back,” Trump stated.
The Panama Canal is administered by the Panamanian government through the Panama Canal Authority (ACP) and connects Asia to the East Coast of the Americas, having been originally constructed and controlled by the US when it opened in 1914.
In a statement following Trump’s inauguration speech Panama President Mulino issued a clear rejection of the US President’s statement of intent regarding the canal. “I must fully reject the statements made by President Donald Trump regarding Panama and its Canal during his inaugural address.
“The Canal is and will continue to be Panamanian, and its administration will remain under Panamanian control with respect to permanent neutrality. There is no presence of any nation in the world interfering with our administration. The Canal is not a concession from anyone,” President Mulino said.
The closest China comes to control of the canal or areas around it is that Hong Kong-headquartered Hutchison Ports administers the ports of Balboa on the Pacific side and Cristobal on the Panama Canal Atlantic entrance through subsidiary Panama Ports Company (PPC). A 25-year concession for PPC by Panama was renewed in June 2021.
Hutchison Ports is part of the Hong Kong -listed conglomerate CK Hutchison Holdings, which is not directly owned or controlled by the Chinese government.
On Monday Panama launched an investigation into the concession held by PPC. The Comptroller General of the Republic posted on social media platform X that auditors arrived on at the company on Monday to “begin a comprehensive audit aimed at ensuring the efficient and transparent use of public resources”.
In his inaugural address President Trump also accused Panama of over charging American ships to use the canal. “American ships are being severely overcharged and not treated fairly in any way, shape or form, and that includes the United States Navy,” Trump stated.
Construction of the canal was originally started by the French 1881, and taken over by the US 1904, and opened in 1914. It remained under US control until 1977 when a treaty was signed by US President Jimmy Carter for the handover of the Canal. The waterway was controlled jointly by the US and Panama until 1999 when Panama took over full control.
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