By Russia Today | Created at 2024-12-22 14:30:26 | Updated at 2024-12-22 19:11:55
4 hours ago
US president-elect has expressed outrage over “rip-off” fees for passage and vowed to keep trade route out of the “wrong hands”
Washington could seek to regain control over the Panama Canal if the Central American country continues to impose “exorbitant” fees on American vessels to use the waterway, US President-elect Donald Trump has warned.
Writing on the Truth Social network on Saturday, Trump suggested that “the fees being charged by Panama are ridiculous, especially knowing the extraordinary generosity that has been bestowed to Panama by the US,” and called the current state of affairs a “complete rip-off.”
The fees to pass through the canal, which handles about 5% of world trade, range from $0.50 to as much as $300,000, depending on the type of ship and on its cargo. Built under Washington’s leadership in 1914, the trade route has been vital to the US ever since; more than 70% of the cargo that passes through the canal originates in or is destined for the country.
In 1999, the US transferred full control over the canal to Panama, as per the 1977 treaty signed by US President Jimmy Carter.
However, Trump labeled Carter’s decision foolish. “When President Jimmy Carter foolishly gave it away, for one dollar, during his term in office, it was solely for Panama to manage, not China, or anyone else,” he stated.
Trump accused Panama of abusing its control by charging excessive fees to the United States, including its Navy and corporations. “It was likewise not given for Panama to charge the United States exorbitant prices and rates of passage,” he said.
He warned that if Panama does not follow the moral and legal principles stemming from what he called this “magnanimous gesture of giving,” then Washington “will demand that the Panama Canal be returned to us, in full, and without question.”
According to Trump, Washington will not allow control over the strategic artery to “fall into the wrong hands.” His comments highlighted concerns that several port facilities near the canal are operated by Chinese companies.
The canal’s history includes significant US military involvement. In 1989, Panama became the target of a US invasion that sought to depose General Manuel Noriega, then the de facto leader of the Central American country and wanted by Washington on drug trafficking charges.
The Panamanian defense forces stood no chance against the vastly superior US military, setting the stage for Noriega’s capture and extradition. Despite the brevity of the fighting, the US has been criticized for allowing civilian casualties, estimated at hundreds and also thousands.
