U.S. Pushes Panama for Military Access and Free Canal Passage

The United States is pressuring Panama to grant free passage for its Navy through the Panama Canal and reactivate military bases.

During his visit to Panama, U.S. Defense Secretary Pete Hegseth announced agreements that include military training, cyber-security planning, and maritime defense collaboration.

These moves aim to counter China’s growing influence in the region, a priority for President Donald Trump. Panama previously ended its 2017 cooperation agreement with China under the Belt and Road Initiative and allowed U.S.-linked firms like BlackRock to acquire strategic port operations.

However, Hegseth’s demands for free canal passage and military presence have sparked criticism from Panamanian leaders. Legal experts argue these agreements violate the Neutrality Treaty of 1977, which guarantees equal access for all nations without discrimination.

The reopening of former U.S. bases—Rodman, Howard, and Sherman—has raised concerns about sovereignty. Critics liken this to a return to the era before 1999 when the U.S. controlled 1,432 kilometers of Panamanian territory around the canal.

Former officials describe this as a “military occupation,” while unions plan protests against perceived violations of Panama’s independence. Hegseth emphasized the need to counter China’s advances in Central America, warning of potential conflict if Beijing weaponizes its economic influence.

Despite these claims, Panama’s Minister of Security denied plans for permanent U.S. bases, calling the agreements a “joint collaboration.” Panama’s sovereignty over the canal remains a contentious issue.

The omission of sovereignty recognition in joint statements has fueled tensions between both nations. Observers see this as Washington leveraging geopolitical fears to secure strategic advantages in a critical trade route worth $270 billion annually.