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Panama is displaying frustration with the U.S. Panamanian
President José Raúl Mulino accused the Trump administration of lying
about a deal that would give the U.S. Navy free access to the Panama
Canal, intensifying tensions around negotiations about the future of the
waterway following President Trump’s threats to seize it.
The WSJ’s Vera Bergengruen, Costas Paris and Santiago Pérez write that Mulino
said he told Defense Secretary Pete Hegseth earlier this week that he
doesn’t have the legal authority to waive transit fees for anyone,
describing a recent U.S. announcement as “lies and falsehoods.” That is
in direct contrast to a State Department statement declaring U.S.
government ships would be able to access the waterway “without charge
fees, saving the U.S. government millions of dollars a year.”
The controversy threatens to redraw a crucial piece of transportation
infrastructure that handles some 5% of global trade, much of it
commodities and manufactured goods tied to U.S. trade with Asia.
Trump has called the fees ridiculous and repeatedly threatened to “take
back” the U.S.-built canal, criticizing the influence that he says
China has over the waterway. Canal officials say giving free passage to
some ships is unprecedented and could bring about scores of lawsuits by
other canal users claiming preferential treatment for U.S. ships.
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