No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeTopicsLatin AmericaUS Defense Chief’s Idea for Military Presence at Panama Canal Sparks Backlash

US Defense Chief’s Idea for Military Presence at Panama Canal Sparks Backlash

US Defense Secretary Pete Hegseth floated the idea on Wednesday of US troops returning to Panama to “secure” its strategically vital canal, a suggestion quickly shot down by the Central American country’s government.  Hegseth suggested during a visit to Panama that “by invitation” the United States could “revive” military bases or naval air stations and rotate deployments of US troops to an isthmus the United States invaded 35 years ago.

He also said his country was seeking free passage through the canal for its Navy ships — which US President Donald Trump had said were “severely overcharged and not treated fairly in any way, shape or form.” Trump, since coming to power in January, has repeatedly claimed that China has too much influence over the canal, which handles about 40 percent of US container traffic and five percent of world trade. 

His administration has vowed to “take back” control of the strategic waterway that the United States funded, built and controlled until 1999. Hegseth suggested on Wednesday the slew of former US military bases that dot Panama could be used again to host US troops. 

He said a deal signed with Panama this week was an “opportunity to revive, whether it’s the military base, naval air station, locations where US troops can work with Panamanian troops to enhance capabilities and cooperate in a rotational way.” Hegseth cited the possibility of “joint exercises” but the mention of a “rotational” force is likely to raise the hackles of Panamanians, for whom sole ownership of the canal is a source of intense national pride. 

The United States has long participated in military exercises in Panama. However, a longer-term rotational force — such as the one the United States maintains in Darwin, Australia — is politically toxic for Panama’s center-right leader Jose Raul Mulino.   His government quickly slapped down the idea.

“Panama made clear, through President Mulino that we cannot accept military bases or defense sites,” said Panama security minister Frank Abrego in a joint public appearance with Hegseth.

Perceived threat

Hegseth also said the United States was seeking an agreement under which its warships could pass through the canal “first, and free.” Jose Ramon Icaza, Panama’s Minister for Canal Affairs, said “we will seek a mechanism by which warships and auxiliary ships can have a compensation system for services, that is, a way to make them cost-neutral” but not “free.”

The independent Panama Canal Authority (PCA) that manages the waterway said in a statement on Wednesday that it was seeking a “cost-neutral scheme” to “compensate services rendered in security matters for warship tolls.” Under current treaties, the canal is open to all nations and all vessels must pay the same rates according to their capacity and cargo, regardless of their country of origin or destination.

The PCA said the United States recognized Panamanian sovereignty over the waterway, although Hegseth did not mention it in the news conference. The Pentagon chief’s two-day visit has been peppered with comments about China and its influence in Latin America.

He said the United States was not looking for war with China but would counter Beijing’s “threats” to the region. “We do not seek war with China. And war with China is certainly not inevitable. We do not seek it in any form,” Hegseth said. “But together, we must prevent war by robustly and vigorously deterring China’s threats in this hemisphere,” the former Fox News anchor said in a speech.

Bullying nature

China hit back after Hegseth’s comments, saying US officials “maliciously attacked China… exposing the United States’ bullying nature.” Trump has zeroed in on the role of a Hong Kong company that has operated ports at either end of the canal linking the Atlantic and Pacific oceans for decades.

Hegseth asserted that China-based companies are also capturing Latin American land and infrastructure in strategic sectors such as energy and telecommunications, and that China has too large a military presence in the hemisphere.  “Make no mistake, Beijing is investing and operating in this region for military advantage and unfair economic gain,” Hegseth said.

Under pressure from the White House, Panama has accused Hong Kong-backed Panama Ports Company of failing to meet its contractual obligations and pushed for the firm to pull out of the country. The firm rejected on Wednesday an audit that said it had failed to pay $1.2 billion due under its concession.

The ports’ parent company CK Hutchison announced last month a deal to offload 43 ports in 23 countries — including its two on the Panama Canal — to a consortium led by US asset manager BlackRock for $19 billion in cash. A furious Beijing has since announced an antitrust review of the deal.

The United States invaded Panama in 1989 to oust dictator Manuel Noriega, killing more than 500 Panamanians and razing parts of the capital. 

Trending Now

Pura Vida and Property: How Costa Rica’s Traditional Way of Selling Homes Is Entering the Digital Age

When people think about buying or selling property in Costa Rica today, they often picture property portals, real estate agents, Realtors and international buyers...

Costa Rica Files Constitutional Reform to Widen Extradition of Citizens

Costa Rica is preparing to make a big change to who it can send abroad to face trial. The government says it will ask...

Costa Rica Makes Forbes 2026 List of Best Places to Retire

Costa Rica has again been named one of the world's best places for Americans to retire, appearing in the 2026 edition of the Forbes...

Costa Rica Moves to Treat Illegal Mining as Organized Crime

Costa Rican lawmakers have given initial approval to legislation that would allow authorities to pursue illegal mining and other serious environmental offenses using organized-crime...

CONCACAF Calls for Reckoning With Infantino’s FIFA Leadership

North and Central American football's governing body CONCACAF yesterday called for a "comprehensive reckoning with" Gianni Infantino's leadership of FIFA after his aborted plan...

Chris Hemsworth Shares Terrifying Costa Rica Flight

Chris Hemsworth has shared frightening footage from a small-plane flight during his family vacation in Costa Rica, showing lightning flashing outside the aircraft as...

Costa Rica’s President Attends the Basílica Mass for the First Time Since 2023

President Laura Fernández attended Sunday's solemn Mass for the Virgen de los Ángeles in Cartago, the first Costa Rican head of state to take...

What the Judicial Coup Fight in Costa Rica is Actually About

President Fernández accused four justices of the Constitutional Chamber of staging a coup d'état on Friday and announced that the governing-party legislative bench will...

Costa Rica Reaches the Heart of the Romería on the Feast of La Negrita

Today is the day the walking stops. August 2 is the feast of the Virgen de los Ángeles, the small dark stone image Costa...
🌴 The Weekly Pura Vida

Costa Rica, Once a Week

The week's top stories, weather & insider tips — delivered every Sunday. One email, zero clutter.

🔒 Free. No spam. Unsubscribe anytime.

Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel