Panama President Refutes Trump’s Claim of ‘Reclaiming’ Panama Canal
TL/DR –
Panama’s President, Jose Raul Mulino, has accused US President Donald Trump of lying about “reclaiming” the Panama Canal, after a Chinese company’s port operation was purchased by a US consortium led by BlackRock Inc. Panama maintains that it has full control over the canal, and that the company’s operation of the ports does not equate to Chinese control over the waterway. The US relinquished control of the canal to Panama in 1999, but Trump has repeatedly stated that he believes the US was wrong to turn over control and is being overcharged for its use.
Panamanian President Accuses Trump of Misrepresenting Panama Canal Control
President Jose Raul Mulino of Panama refutes US President Donald Trump’s assertion that the US is “reclaiming” the Panama Canal.
Mulino issued a statement on X, denying the American President’s claim of the country’s “reclaiming” process of the vital waterway that links the Atlantic and Pacific oceans.
He publically criticized Trump for misrepresenting the facts, insisting on the country’s dignity as a nation.
Trump’s statement came during his annual address to the US Congress, where he indicated Washington’s intention to take back the Panama Canal for security purposes.
The assertion followed a deal announcement for BlackRock Inc-led consortium’s purchase of the majority stake in the port operator company owned by a Chinese group, CK Hutchison Holding.
The deal comprises an almost $23bn acquisition, which includes $5bn debt, of Hutchison Port Holdings and Hutchison Port Group Holdings. Panama’s government needs to approve the deal.
Trump has previously expressed a desire to repossess the Panama Canal, alleging overcharging by Panama and Chinese control over the important waterway, even hinting at a possible military intervention.
Panama maintains overall control over the canal and denies the Hong Kong-based group’s operation amounting to Chinese control. Furthermore, the country has dismissed US Secretary of State Marco Rubio’s assertions of Chinese influence over canal operations.
The US built the canal in the 1900s to ease transit for commercial and military vessels. Control of the waterway fell to Panama in 1999 under a 1977-signed treaty by President Jimmy Carter, whom Trump blames for the canal’s “foolish” giveaway.
The canal, spanning 80km (50-mile), facilitates 5 percent of the world’s maritime trade, including 40 percent of US container traffic.
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