Will retake control of Panama Canal if deal not reached: Trump

President-elect Donald Trump threatened to reassert US control over the Panama Canal, accusing Panama of charging excessive rates to use the Central American passage, which allows ships to cross between the Pacific and Atlantic oceans.

In a Saturday evening post on Truth Social, Trump also warned that he would not let the canal fall into the “wrong hands,” and he seemed to warn of potential Chinese influence on the passage, writing that the canal should not be managed by China.

China does not control or administer the canal. However, a subsidiary of Hong Kong-based CK Hutchinson Holdings manages two ports located on the Caribbean and Pacific entrances to the canal, respectively. The post was an exceedingly rare example of a US leader saying he could push a sovereign country to hand over territory.

It also underlines an expected shift in US diplomacy under Trump, who has not historically shied away from threatening allies.

“The fees being charged by Panama are ridiculous, especially knowing the extraordinary generosity that has been bestowed to Panama by the U.S.,” Trump wrote in his Truth Social post.