President Trump accused Panama of “defrauding” American ships by charging “exorbitant prices” for use of a vital waterway that serves as a shortcut between the Atlantic and Pacific oceans.
Without it, ships would be forced to sail much further around South America’s rocky Cape Horn.
Trump was referring to the 1977 Treaty on the Status of the Canal, which transferred control of the canal from the United States to Panama at the end of the 20th century.
It was hailed as one of President Jimmy Carter’s greatest achievements, but Trump accused the 39th president of “stupidly offering it for a dollar.”
“Our Navy and our Department of Commerce have been treated very unfairly and unjustly,” Trump said. “The fees Panama charges are ridiculous, especially given the extraordinary generosity the United States has given Panama.”
“If the moral and legal principles of this generous act of donation are not upheld, we will demand the full and unquestioned return of the Panama Canal,” he added loudly.
Canal transit fees range from as low as $0.50 to $300,000, depending on the size of the vessel.
It was not immediately clear why President Trump was furious about the canal.
According to the numbers, the United States uses the canal more than any other country, followed by China and then Japan.
Earlier this year, a drought forced authorities to cut shipping traffic in the canal by 36%, impacting global trade routes.
MNA/
