The United States and Panama have taken steps to ease recent tensions surrounding the Panama Canal through a new joint security declaration, signed during the visit of U.S. Defense Secretary Pete Hegseth to Panama. According to the report, the agreement reaffirms Panamanian sovereignty over the interoceanic waterway, as well as compliance with the Neutrality Treaty and the legal framework governing Canal operations.
The declaration also outlines efforts to develop a mechanism that would allow compensation for services provided to U.S. warships and auxiliary vessels on a cost-neutral basis. This proposal is expected to be evaluated jointly with Panama’s Ministry of Security and would take into account the existing cooperation between Panama and the U.S. Department of Defense in areas such as engineering, security, and cybersecurity.
The report notes that Hegseth presented the agreements as part of a broader effort by the United States to counter what he described as Chinese influence in Panama. However, the Panama Canal remains owned and operated by the Panamanian government, and Panamanian officials have consistently rejected suggestions that the Canal is under foreign control.
The issue follows earlier controversy after U.S. officials suggested that American government vessels could transit the Canal free of charge. The Panama Canal Authority disputed those claims, while President José Raúl Mulino accused the United States of spreading falsehoods. According to the ACP, U.S. warships have paid a total of $25.4 million in tolls over the past 26 years. Panama’s Minister for Canal Affairs has also stated that the country cannot legally exempt vessels from Canal tolls, although compensation through bilateral cooperation remains under discussion.
The declaration signals a more measured tone in U.S.–Panama relations at a time when the Canal remains at the center of broader geopolitical attention. As one of the world’s most strategic maritime corridors, the Panama Canal continues to be shaped not only by trade and logistics priorities, but also by questions of security, sovereignty, and international influence.
