Trump Orders U.S. Troops to Draft Plans for Potential Panama Canal Takeover

Written by Anna Hartz

Mar.13 - 2025 7:43 PM CET

World
Photo: Shutterstock.com
Photo: Shutterstock.com
Pentagon Drafts Strategy for Increasing Military Influence Over Panama Canal

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For over a century, the Panama Canal has been a key waterway for global trade.

Built by the United States and later handed over to Panama, it remains one of the world's most strategically important shipping routes.

Now, reports suggest that President Trump is considering military action to take control of the canal once again.

According to NBC, the Trump administration has asked U.S. troops to draft options concerning the canal.

One of these options includes a potential military takeover. The U.S. currently has around 200 troops stationed in the Panama Canal Zone.

Now, the administration is looking to increase its presence. Officials say the goal is to reduce China's influence, especially in regard to its economic activities near the canal.

U.S. Southern Command is developing different strategies. Some involve working more closely with Panamanian forces. Others explore more drastic measures.

Officials admit that military action is unlikely, but they are considering all possibilities. The level of cooperation from Panama’s military would play a key role in any such decision.

During a speech to Congress, President Trump stated that his administration intends to "reclaim the Panama Canal."

However, he did not clarify what that would mean in practice. Since then, officials have avoided providing further details.

Panama and China have both dismissed the idea that there is any foreign interference regarding the canal.

Panama insists that its neutrality is protected by its constitution. Meanwhile, Chinese officials accuse the U.S. of pressuring Panama to block Chinese economic projects in the region.

They claim the U.S. is using coercion to maintain dominance over the canal.

Admiral Alvin Holsey, head of U.S. Southern Command, recently presented a draft strategy to Defense Secretary Pete Hegseth.

The defense secretary is expected to visit Panama next month. Secretary of State Marco Rubio also visited Panama last month, adding to speculation about U.S. intentions.

The U.S. originally built the Panama Canal between 1904 and 1914. After decades of control, the U.S. handed it over to Panama in 1999, following a treaty signed by President Jimmy Carter.

However, American military forces have intervened in Panama before. In 1989, U.S. troops invaded the country and removed leader Manuel Noriega from power.

Recently, the private American company BlackRock purchased a majority stake in the ports at both ends of the canal.

The investment fund acquired 90 percent of the Panama Ports Company for $23 billion. The purchase has raised further questions about foreign influence over the canal and its future control.