Trump: If tariffs are not reduced, we will reclaim the Panama Canal; Panama's reaction

The elected President of the United States criticized the high tariffs for ships passing through the Panama Canal and threatened that if this trend continues, the waterway should be returned to the United States. These remarks were immediately met with a response from Panama's President, José Raúl Molino, who emphasized on Sunday night that the country's sovereignty over the Panama Canal will continue. In a video message published on social media, he stated that 'every square meter' of the Panama Canal and its surrounding areas belongs to Panama and will continue to do so, asserting that 'the sovereignty and independence of Panama is non-negotiable.' Just hours earlier, Donald Trump, the elected President of the United States, called the Panama Canal tariffs 'ridiculous' and wrote on the social media platform Truth that he would not allow the Panama Canal to fall into 'incompetent hands.' It seems Mr. Trump's reference is to China, as he stated that this important communication passage between the Pacific and Atlantic should not be managed by China. Trump threatened to impose heavy tariffs against Mexico, Canada, and China. China does not control or manage the canal; however, one of the subsidiaries of CK Hutchison Holdings based in Hong Kong manages two entry ports of the canal in the Caribbean and Pacific regions. In his post, Trump reiterated that the canal fees are absurd, especially considering the extraordinary generosity that the United States has shown to Panama. He claimed that the canal was not given for the profit of others but merely as a sign of cooperation between the U.S. and Panama. The United States completed the construction of the Panama Canal in 1914 and established a military base to protect it. The 1977 treaty paved the way for the waterway to be handed over to Panama on December 31, 1999. Annually, 14,000 ships pass through this waterway, which constitutes 2.5% of global maritime trade and is vital for importing vehicles and commercial goods from Asia to the United States and exporting goods like liquefied natural gas. However, Trump has now warned that if 'moral and legal principles in this generous act are not observed, we will seek the complete and unconditional return of the Panama Canal to the United States.' The Panama Embassy in Washington did not respond to Reuters' request for comment on this matter. Trump's statement is a rare example of an American leader claiming he can force an independent country to cede territory. These remarks may also indicate potential changes in U.S. diplomacy under Trump's presidency. At the same time, it is unclear how Trump's claim for control over the Panama Canal would be implemented, as he would not have legal tools under international law to do so. He has repeatedly publicly expressed opinions about expanding U.S. territory and in recent weeks has mentioned the annexation of Canada to the United States, although it is unclear how serious these statements are. During his previous presidency, Trump also expressed interest in expanding U.S. territory, including a desire to purchase Greenland, an autonomous territory of Denmark, which was met with a negative response from Danish officials.