A wave of uncertainty has gripped Panama mere days into Donald Trump’s second term as US president, following his jarring declaration that he intends to “take back” the Panama Canal. The fiery rhetoric has ignited a diplomatic firestorm, evoking haunting memories of the 1989 US invasion and eliciting fears of renewed American imperialism in the small Central American nation.
Trump’s incendiary comments, alleging Chinese influence over the strategic waterway and accusing canal administrators of overcharging American ships, have been met with a mixture of panic and defiance in Panama. Despite the country’s steadfast insistence that the claims are baseless, the specter of gunboat diplomacy looms large over the Panama Canal once again.
A Country on Edge
From the high-tech control room overlooking the recently expanded Cocolí locks, it’s business as usual at the Panama Canal. Yet the serene view of lakes, rainforests, and the distant Atlantic belies the geopolitical tempest brewing over the critical trade route. Deputy Administrator Ilya Espino de Marotta remains resolute:
What I say is: come and see it. It’s pretty obvious when you come to the canal. We’re a very transparent entity.
– Ilya Espino de Marotta, Panama Canal Deputy Administrator
Panamanians are no strangers to American interventionism. The 1977 Torrijos-Carter Treaties that eventually transferred canal control to Panama were deeply divisive at the time. A decade later, the US invasion to depose dictator Manuel Noriega left indelible scars. Now, those old wounds are reopening.
Diplomatic Scramble
In a bid to defuse the crisis, US Secretary of State Marco Rubio is reportedly planning to meet with canal leadership during his inaugural Latin American tour. The high-stakes visit underscores the gravity of the situation and the urgent need for dialogue. Former Panamanian President Martín Torrijos, whose father negotiated the canal handover, remains defiant:
The times where the US had a military presence in Panama – that finished on 31 December at 12 noon, 1999. They are not coming back.
– Martín Torrijos, former President of Panama
Yet in the post-truth era, Panama’s protests may fall on deaf ears. Appeasing Washington could require offering concessions, such as auditing the Chinese-owned ports at either end of the canal—a move some view as a potential pretext for expropriation. Comptroller Anel Flores insists the reviews are routine, not a “witch hunt.” But the stakes couldn’t be higher.
A Nation Remembers
For Panamanians old enough to recall the 1989 invasion, Trump’s saber-rattling is a chilling reminder of a traumatic past. Paula Rodriguez organizes an annual event called “Never Forget” in memory of her father, a soldier killed in a skirmish with US troops that fateful December night. She encapsulates the country’s resolute spirit:
Panamanian people – we rise, you know, we defend and we unite, after all, to defend our country and our people. Because it’s not about the canal, it’s about our integrity.
– Paula Rodriguez, Panamanian activist
As Panama holds its breath, caught between panic and defiance, the world watches anxiously to see whether cool heads will prevail—or if the specter of gunboat diplomacy will once again cast its long shadow over the storied Panama Canal. In an interconnected global economy, the reverberations could be felt far beyond the isthmus.
