President-elect Donald Trump declared Sunday his intention to regain control of the Panama Canal. He called it a “vital national asset” while criticizing Panama’s administration and calling for the canal to be returned to U.S. control. He warned Panamanian officials to “take appropriate guidance.”
Trump argued that “we’re being ripped off at the Panama Canal” by the current fee structure and accused former President Jimmy Carter of “stupidly” giving up control of the canal nearly half a century ago. He also criticized the “ridiculous” fees imposed on ships using the strategic Atlantic-Pacific waterway.
Panama Canal is a “vital national asset for the United States”
Trump declared his intention to demand the return of the Panama Canal during his second term: “If the moral and legal principles of this generous gesture of giving are not followed, we will demand the return of the Panama Canal to the United States of America.”, in full, quickly and without question. “I will not tolerate this,” Trump said.

“So to the officials of Panama: please be guided accordingly,” he added.
His comments came during his first major rally since winning the White House on November 5 and were strongly condemned by Panama’s conservative President José Raúl Mulino. During a 75-minute speech, Trump spoke about combining political statements with personal triumphs, a hallmark of his style.
Trump began the speech by saying, “We want to try to bring everyone together. We’ll try it. We’re really going to try.” He added that Democrats have “lost their confidence” and are “confused.” But after the election, at some point “they will come to our side because we want them,” the Associated Press reported.
“Every square meter of canal belongs to Panama”
Panamanian President José Raúl Mulino firmly rejected Trump’s demand, calling it an affront to Panama’s sovereignty. Mulino, who is characterized as a conservative populist and shares several positions with Trump, leads a strong US ally.
Following Trump’s speech, Mulino released a video on
Without naming Trump directly, Mulino addressed complaints about rising sewer rates, saying tariffs are set by experts based on operating costs and supply-demand dynamics.

“Rates are not set on a whim,” Mulino said, pointing to Panama’s independent efforts to expand the canal over the years to accommodate increasing shipping traffic and adding that fee adjustments fund those improvements.
“Panamarians may have different views on many issues. But when it comes to our canal and our sovereignty, we will all unite under our Panamanian flag,” the Panamanian president said.
“Welcome to the United States Channel”
In response to these comments, Trump posted on his social media platform: “We’ll see!” alongside a picture of the US flag displayed in the canal area with the caption “Welcome to the United States Canal!”

The United States built the canal in the early 20th century to facilitate coastal maritime traffic. Control of the waterway passed to Panama on December 31, 1999, under an agreement signed by President Jimmy Carter in 1977. The canal contributes about a fifth of Panama’s annual government revenue.
According to the Associated Press, the canal’s reservoir-dependent operations faced significant disruptions from Central American droughts in 2023, requiring reductions in daily ship passages. Due to limited availability, administrators increased reservation fees. Despite the normalization of transit due to improved weather conditions, fee increases are expected for the following year.