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Trump Reiterates Opposition to Panama Canal Transfer Amid China Threat

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News Analysis IndiaReporter
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July 2, 2026
07:31 AM
Trump Reiterates Opposition to Panama Canal Transfer Amid China Threat

At the dedication of the Theodore Roosevelt Presidential Library, President Donald Trump used the occasion to once again criticize the 1999 decision to hand over the Panama Canal to Panama. He warned that China is now attempting to capitalize on the hand‑over, seeking to embed its economic and military reach into the canal’s operations.

According to Trump, the canal’s management under the Panama Canal Authority has led to frequent hikes in transit fees, with the latest increase pushing shipping rates fourfold. He asserted that these moves benefit Panama but could be leveraged by Chinese investors to gain strategic leverage. The president stressed that the United States will not sit idle and will consider “all necessary measures” to safeguard the corridor that is essential to international commerce.

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