WASHINGTON, Feb 6 (Alliance News): The United States has announced that government vessels will now be allowed to sail through the Panama Canal without incurring fees, saving the US government millions of dollars annually.
This move follows significant pressure from President Donald Trump, who had previously criticized Panama for charging fees to US vessels transiting the vital waterway.
The announcement, made by the US State Department, marks the first public confirmation of a promise hinted at by US Secretary of State Marco Rubio during talks in Panama earlier this week.
Trump and Rubio had argued that it was unfair for the United States to defend the Panama Canal while also paying for its use.
The Panama Canal is crucial for US trade, handling 40% of US container traffic.
Although Panama has denied allegations that China is involved in managing the canal, it has made efforts to address US concerns, including not renewing its membership in China’s Belt and Road Initiative.
Panama’s President, Jose Raul Mulino, met with Rubio and said their discussions were “respectful,” and the visit would lead to agreements benefiting both nations.
Despite these developments, President Trump expressed dissatisfaction, stating he was “not happy”, though acknowledging some agreements had been reached.
However, in a direct rebuttal, the Panama Canal Authority denied the US State Department’s claim regarding the fee exemption, asserting that no changes had been made to the charging policy.
The authority confirmed its willingness to discuss the transit of US wartime vessels but emphasized that no new agreements had been made.
The tensions between the two countries come as Panama remains a point of contention, with Trump repeatedly accusing the country of imposing excessive charges on US vessels, despite the canal being built by the US over a century ago and handed back to Panama in 1999
