Washington
Panama and China have flatly rejected the controversial claims made by US President Donald Trump on the Panama Canal. Panamanian President Jose Raul Mulino clearly stated at the World Economic Forum (WEF) on Wednesday that the Panama Canal was not a bailout, nor is it a “gift” from the US. Meanwhile, China rejected the US President’s claim that it has effective control over the canal. “We completely reject everything Mr. Trump said,” Panamanian President Mulino said. First of all, what he said is a lie. The second thing is that the Panama Canal is the property of Panama and will always remain the property of Panama. This was neither a gift given by America nor a dole.”
Trump’s threat of military action
In his controversial statements, Trump did not even rule out military action over American control over the canal. Trump alleged during his inaugural address on Monday that China was “effectively” operating the canal. “We didn’t give it to China, we gave it to Panama,” he said. And now we are going to take it back.”
Panama filed complaint with UN
Panama reacted strongly to Trump’s statements and lodged a formal complaint with the United Nations. In a letter to UN Secretary-General Antonio Guterres, Panama City cited an article of the UN Charter that prohibits “the use of force or the threat of force” by any member state.
China also denied
At the same time, China’s Foreign Ministry spokesperson on Wednesday called Trump’s allegations baseless. “China does not participate in the management and operation of the Panama Canal and has never interfered in the canal’s affairs,” he said. Panamanian President Mulino has already made it clear that the Panama Canal works on the principle of neutrality and there is no interference from any other country.
Panama announces audit
Amid this controversy, Panama has announced an audit of the Panama Canal and Panama Ports Company. The company is a subsidiary of Hong Kong-based CK Hutchison Holdings, which operates Balboa and Cristobal Ports at either end of the canal. Trump has also courted controversy in recent days over his plans to force Denmark to sell Greenland and to rename the “Gulp of Mexico” the “Gulp of the Americas.”
What is the Panama Canal?
The Panama Canal is an artificial waterway located in the country of Panama in Central America. The canal connects the Atlantic Ocean to the Pacific Ocean and is an important route for global trade. The total length of this canal is about 82 kilometers. It was opened in 1914 and is considered one of the greatest achievements of modern engineering.
Importance of Panama Canal
Role in global trade: The Panama Canal is one of the world’s busiest and most important waterways. It makes freight transportation between Asia, America and Europe fast and economical. Without the canal, ships would have had to go through the southern tip of South America (Cape Horn), increasing travel time and expense many times over.
Strategic and economic importance for America
Trade and Transportation: The Panama Canal is a means of rapidly completing trade between the East and West coasts of America. This saves time and fuel, which is beneficial to the American economy.
Military Importance: Control of the canal has also been important for America from a strategic point of view. During World War II, it was an important route for the US Navy.
American influence: The United States built the canal and operated it from 1914 to 1999. During this time it also remained a symbol of America’s global influence and power.
Role in International Relations: The location of the Panama Canal also makes it important from a geopolitical point of view. Due to the increasing presence of China and other countries, this has become a matter of concern for America.
Controversies related to Panama Canal
Conflict between America and Panama: There was a long-term dispute between the US and Panama over the ownership of the Panama Canal. Eventually, on December 31, 1999, the United States formally transferred ownership of the canal to Panama.
China’s role: In recent years, China has invested in trade and ports around the canal. This worries the US because China’s growing influence over the canal could alter the geopolitical balance.
The Panama Canal is not only an engineering marvel but it is also the center of global trade, politics and strategic relations. Especially for America, this canal has been an important part of an economic and military strategy. However, its ownership and control remains a sensitive issue in the changing global scenario.
