President Trump’s desire to reclaim the Panama Canal for American interests stems from concerns about fees on U.S. vessels and China’s influence. The canal’s history dates back to its construction, initiated by Ferdinand de Lesseps in 1881, which eventually led to U.S. control after Panama’s independence in 1903. Despite the U.S. transferring sovereignty to Panama in 1999 under a treaty, Trump’s stance overlooks Panama’s recent investments and the complexities of historical treaties surrounding the canal.
The Historical Context of the Panama Canal
Since returning to office, President Trump has voiced intentions to reclaim the Panama Canal for American interests. This vital waterway was transferred to Panama in 1999, and Trump supports his stance by highlighting high fees imposed on American vessels and the growing influence of China over the canal. Historically, the United States has not hesitated to assert its interests in this region.
The Treaty and Construction of the Canal
The saga of the Panama Canal began in 1881 when Ferdinand de Lesseps, known for his work on the Suez Canal, initiated the project to create a passage between the Atlantic and Pacific Oceans. However, his vision of a sea-level canal faced significant challenges, leading to the bankruptcy of the French company by 1889.
At that time, Panama was still part of Colombia, though its remote location, separated by the Darién jungle, made it difficult to access. This isolation fueled separatist movements within Panama.
Following the failure of the French effort, the United States took a keen interest in completing the canal. In 1903, after Colombia rejected a treaty regarding the canal zone, the U.S. supported a secessionist movement in Panama, leading to its independence on November 3, 1903. Shortly after, the U.S. signed a treaty granting it “perpetual” control over a ten-mile-wide canal zone for a one-time payment of $10 million and an annual rent of $250,000. This treaty was hastily arranged, and while the Panamanian government protested, they ultimately accepted it fearing the U.S. might take control without compensation.
The Americans completed the canal in about a decade, implementing a lock system that raised ships 26 meters. When it opened in 1914, it showcased American engineering prowess and significantly enhanced the nation’s global influence, allowing easier naval operations between the Pacific and Atlantic Oceans.
However, the construction came at a high human cost, with nearly 28,000 workers losing their lives to diseases and accidents, primarily during the earlier French efforts.
Shifting Dynamics and the Return of Sovereignty
American dominance over the canal led to growing resentment in Panama, culminating in violent protests in January 1964 when students attempted to raise their national flag alongside the U.S. flag. The unrest escalated, resulting in numerous casualties and prompting a severe military response from the U.S.
Following this violence, diplomatic relations were severed, only to be restored a year later with negotiations for a new treaty. By the late 1970s, under President Jimmy Carter, a new agreement was reached, resulting in the gradual handover of the canal zone to Panama by 1999. This treaty ensured that all nations would be treated equally concerning transit fees, a stipulation that contradicts Trump’s proposed fee reductions.
Despite opposition from conservative factions in the U.S., the treaty was ratified, and on December 31, 1999, full sovereignty was transferred to Panama, along with significant land and infrastructure.
Even as control transitioned, the U.S. military intervened in Panama in 1989 to overthrow General Manuel Noriega, who had become increasingly problematic. Following a swift invasion, Noriega was captured and eventually sentenced to prison in the U.S.
Today, Trump’s argument for reclaiming the canal not only overlooks the established treaties but also disregards Panama’s significant investment in expanding the canal between 2007 and 2016, which further solidified its autonomy in managing this crucial waterway.