President Donald Trump announced a bold plan to reclaim control of the Panama Canal during a recent address to Congress. He emphasized that the United States would once again oversee this vital shipping route. His comments came after financial giant BlackRock revealed it had struck a deal to acquire two major ports in the canal area.
Trump has long argued that Panama has been taking advantage of the U.S. since the canal was handed over in 1977. He stated, “The Panama Canal was built by Americans for Americans, not for others.” He highlighted the significant sacrifices made during its construction, noting that around 38,000 workers lost their lives due to harsh conditions and diseases.
The deal by BlackRock, valued at $23 billion, involves the purchase of ports from CK Hutchison Holdings, a company based in Hong Kong. This agreement will also include 43 other ports globally. However, it still requires approval from the Panamanian government. Recently, Panama has shown willingness to cooperate with the Trump administration, including allowing U.S. Navy ships to pass through the canal for free.
Trump criticized the previous administration for the original transfer of the canal, claiming it was given away for just one dollar. He asserted that the agreement has not been honored and insisted that the U.S. is taking back control from Panama.
In a significant shift, Panama has also decided not to renew its participation in China’s Belt and Road Initiative, marking a change in its international partnerships. This series of developments suggests a renewed focus on U.S. interests in the region, with Trump positioning his administration as reclaiming a historical asset for American benefit.