The CEO of the Panama Canal has rejected President-elect Donald Trump’s claim that China now controls the waterway built by the United States a century ago.
“The accusations that China is running the Canal are unfounded,” Panama Canal Authority leader
Trump’s concerns echo those from the U.S. Department of Defense over growing Chinese investments in shipping ports around the world.
During a testimony before the House Armed Services Committee in March, Gen. Laura J. Richardson, the leader of U.S. Southern Command, informed lawmakers that China presents its investments as peaceful. However, many of these investments actually could offer potential multi-domain access for the PLA and serve as strategic naval chokepoints.
Richardson cautioned that China’s investments encompass crucial infrastructure like deep-water ports, cyber facilities, and space facilities. She highlighted that in Panama, Chinese state-owned enterprises under PRC control are actively bidding on projects linked to the Panama Canal, which is a vital global strategic chokepoint.
Five percent of world commerce passes through the Panama Canal, Richardson said.
A cargo ship traverses the Agua Clara Locks of the Panama Canal in Colon, Panama, on Sept. 2, 2024. (AP Photo/Matias Delacroix, File)
Two seaports on either side of the Panama Canal have been run for decades by the Hong-Kong-based company Hutchison Ports PPC, the New York Times reported, noting how the Chinese government has increasingly implemented its national security laws on the island of Hong Kong that can force companies to comply with intelligence-gathering and military operations.
Roughly 40% of U.S. container traffic runs through the Panama Canal, according to the newspaper.
