Posted originally on the CTH on December 23, 2024 | Sundance

After President Trump noted there are issues with the Panama Canal management, costs and fees being paid by American transit companies for goods that flow through the canal, the President of Panama José Raúl Mulino hit back strongly.

President Mulino is a conservative nationalist who won election seven months ago.  Mulino did not like the implications of President Trump contemplating a renegotiation of the Panama Canal Treaty, with ownership and management given by the USA to Panama in 1999.  Mulino hit back releasing a video statement [SEE HERE] with the transcript of his remarks below:

“As President, I want to express clearly that every square meter of the Panama Canal and its adjacent area belongs to Panama, and will continue to do so. The sovereignty and independence of our country are not negotiable.

Every Panamanian, here or anywhere in the world, carries it in their heart, and it is part of our history of struggle and an irreversible conquest.

The Torrijos-Carter Treaties of 1977 agreed to the dissolution of the former Canal Zone, recognizing Panamanian sovereignty and the complete transfer of the Canal to Panama, which ended on December 31, 1999. And we will soon celebrate the 25th anniversary of this transfer. Since then, there have been no objections or claims; on the contrary, it has been a source of strong international support and national pride. It was operated and expanded by Panamanian decision and today represents a great asset that contributes billions of dollars to our economy.

These treaties also established the permanent neutrality of the Canal, guaranteeing its open and safe operation for all nations, a treaty that has obtained the adherence of more than 40 States.

Any contrary position has no validity or support on the face of the earth. Our Canal has the mission of serving humanity and its commerce. That is one of the great values ​​that we Panamanians offer to the world, giving the international community a guarantee of not taking part, nor being an active part, in any conflict.

Since it has been in Panamanian hands, the Canal has grown. It is managed by qualified professionals who, with clear rules, are responsible for its operation, conservation and maintenance, ensuring its safe, continuous, efficient and profitable operation.

Rates are not a whim. They are established publicly and in an open hearing, taking into account market conditions, international competition, operating costs, and the maintenance and modernization needs of the interoceanic route. This is how we achieved the expansion of the Canal in 2016, which today represents greater economic and commercial growth, generating more wealth and opportunities throughout the world and its trade.

The Canal is not under direct or indirect control, neither by China, nor by the European Community, nor by the United States, nor by any other power.

As a Panamanian, I strongly reject any manifestation that distorts this reality. And it will continue to be in Panamanian hands as an inalienable heritage of our Nation, guaranteeing its use for the peaceful and uninterrupted transit of ships from all nations, as established by our Constitution and the Neutrality Treaty. This is the greatest tribute that the martyrs of January 9, 1964 deserve, who sacrificed their lives in the struggle for the sovereignty and dignity of our country, and all Panamanians who participated in an unprecedented generational struggle.

Panama respects other nations and demands respect.

With the new U.S. government, I hope to preserve and maintain a good and respectful relationship. Security issues such as illegal migration, drug trafficking and organized crime must be a priority on our bilateral agenda, as they are a real threat that should concern us greatly.

We Panamanians may think differently on many issues, but when it comes to our Canal and our sovereignty, we all unite under a single flag, that of Panama.

We are a country open to dialogue, today and always, to investments and good relations, but with the clear motto that the country comes first.

That, for this Panamanian President, is not negotiable.”

[SOURCE]

In response to President José Raúl Mulino, President Donald Trump released the following message from his Truth Social account.

It would appear there is going to be some further discussion of these issues between President Trump and President Mulino.

I suspect there is going to be a bilateral trade agreement opened and renegotiated between the USA and Panama.  Perhaps tariffs on Panama goods flowing into the U.S. along with central American financial mechanisms, travel restrictions and potential other aspects coming into play.

In the end of that complicated dynamic, expect to see USA flagged carriers with negotiated special transit costs.

After all, “Economic Security is National Security.”

President Trump: “I am pleased to announce Mauricio Claver-Carone as the State Department’s Special Envoy for Latin America. Mauricio has served in many important roles, including the White House, as my Senior Director for Western Hemisphere Affairs. Over the last four years, chaos and anarchy have engulfed our Borders. It is time to restore order in our own hemisphere. Mauricio knows the region, and how to put America’s interests FIRST. He also knows the dire threats we face from illegal mass migration and fentanyl. As the State Department’s Special Envoy, Mauricio will work tirelessly to protect the American People.” (SOURCE)