Donald Trump has demanded free transit for American commercial and military ships through the Panama and Suez canals, tasking his secretary of state with making progress “immediately”.
Trump has for months been calling for the United States to take control of the Panama canal but his social media post also shifted focus on to the vital Suez route. “American ships, both military and commercial, should be allowed to travel, free of charge, through the Panama and Suez canals!” Trump posted on Saturday.
He claimed both routes would “not exist” without the US and said he had asked his secretary of state, Marco Rubio, to “immediately take care of” the situation.
The Panamanian president, Jose Raul Mulino, without directly referencing Trump said on Saturday that toll fees were regulated by the Panama Canal Authority (ACP), an autonomous governing body that oversees the trade route. “There is no agreement to the contrary.”
The US defence secretary, Pete Hegseth, said during a visit to Panama City this month that the US was seeking an agreement under which its warships could pass through the canal “first, and free”. He also floated the idea of US troops returning to Panama to “secure” its strategically vital canal, an idea that was quickly slapped down by Panama’s government.
The US and China are two of the top users of the canal.
Egypt’s Suez canal, a key waterway linking Europe and Asia, accounted for about 10% of global maritime trade before attacks by Yemen’s Houthi rebels on shipping routes in the Red Sea and Gulf of Aden.
The Iran-backed rebels began targeting vessels after the start of the Israel-Gaza war, claiming solidarity with Palestinians. It has forced ships to take a long and costly detour around the southern tip of Africa.
Egypt said in 2024 that its canal revenues had plunged 60%, a loss of $7bn.
The US military has been attacking Houthi positions since January 2024 and those assaults have intensified under Trump, with almost daily strikes in the past month. Trump has said military action will continue until the Houthis are no longer a threat to shipping.
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