Panama Grants Permission for US Troop Presence at the Panama Canal

In a significant development for US-Panama relations, a new agreement has been reached that permits the presence of US troops at the Panama Canal. The pact, finalized on Wednesday and made public by the Panamanian government on Thursday, allows the United States to conduct training, exercises, and various activities at locations around the canal that are under Panamanian control. However, the establishment of military bases is explicitly excluded.

This memorandum was signed during the recent visit of US Secretary of Defense Pete Hegseth to Panama. It stipulates that military and civilian personnel from the US are allowed to provide training, carry out exercises, and store equipment within facilities designated and controlled by Panama. The agreement is initially set for a three-year term, with the possibility of renewal.

During his visit, Hegseth suggested the potential for a renewed US troop presence in Panama to ensure the security of the canal. He mentioned that the US could, 'upon invitation,' reestablish military bases or naval airfields in the region. However, Panama's Defense Minister, Frank Ábrego, emphasized that the country would not accept any military bases or defense installations.

This agreement represents a significant concession for US President Donald Trump, who has been advocating for greater US influence over this critical waterway. In recent months, Trump has expressed concerns about what he perceives as excessive Chinese influence over the canal, through which approximately five percent of global trade transits.

The Panama Canal, constructed by the US Army Corps of Engineers in the early 20th century, was handed over to Panama on December 31, 1999, marking a significant moment in the country's sovereignty and control over its resources.