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Tuesday, Aug 04, 2026

Panama Rules Out Negotiations With US Over Control of Canal

President Jose Raul Mulino reaffirms Panama's sovereignty over the canal and dismisses Trump administration claims regarding Chinese involvement.
Panama’s President Jose Raul Mulino announced on Thursday that there will be no negotiations with the United States over the ownership of the Panama Canal, in response to recent remarks by U.S. President Donald Trump.

During his inaugural address on January 20, Trump claimed that China was 'effectively operating' the strategic waterway and suggested that the U.S. intends to 'take it back.'

Speaking at a press conference, Mulino rejected any possibility of reopening discussions on the matter.

'I cannot negotiate, much less open a process of negotiations on the canal.

That is sealed.

The canal is Panama's,' he said.

The canal, which connects the Atlantic and Pacific Oceans, was constructed by the United States and opened in 1914. The U.S. administered it until the signing of treaties in 1977 under then-President Jimmy Carter, transferring control to Panama by 1999. Since then, the canal has been managed by the Panama Canal Authority (ACP), an autonomous entity under the Panamanian government.

Mulino emphasized that the private Panama Ports Company (PPC)—a subsidiary of Hong Kong-based CK Hutchison Holdings—operates ports at either end of the canal but does not control shipping routes or influence the canal’s management.

'The ports are not under the control of governments or military forces of any nation,' Mulino clarified, rejecting any claims of foreign interference.

Panama has filed a formal complaint with the United Nations over Trump’s comments but reaffirmed its commitment to maintaining its strong ties with the U.S. 'The relationship with the United States is strong, it has always been so,' Mulino said.

He acknowledged occasional tensions but highlighted that the nations have consistently cooperated to address complex issues.

As part of ongoing diplomatic efforts, U.S. Secretary of State Marco Rubio is set to visit Panama soon, marking his first foreign trip under the Trump administration.

The visit will also include stops in El Salvador, Costa Rica, Guatemala, and the Dominican Republic.

Mulino indicated that Panama is open to discussing common challenges, such as migration and organized crime, but made it clear that the ownership of the canal is non-negotiable.

The visit comes amid heightened tensions between the U.S. and Latin American nations over Trump’s plans for mass deportations of undocumented migrants, most of whom come from the region.

Despite this, Mulino underscored that Panama's 'privileged relationship' remains with the U.S., not China, as he dismissed any concerns regarding Chinese influence over the canal’s operations.
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