In the wake of Trump's recent inauguration speech, where he asserted intentions to "take back" the Panama Canal, significant international tension has arisen. Trump claimed that "China is operating the Panama Canal," a statement met with immediate backlash from officials in Panama and Beijing.

During his address, Trump referred to the canal as "a foolish gift" to Panama, claiming American ships have been overcharged and that the canal is under the influence of China. In response, Panamada's President, Jose Raul Mulino, firmly rejected these assertions, stating, "The canal is and will remain Panama's," thus reaffirming the nation's control over the vital waterway, which handles about 5% of global maritime trade.

Panama’s audit of Hutchison Ports, which manages critical ports at either end of the canal, aims to counter Trump's narrative of Chinese dominance. Although Hutchison is a subsidiary based in Hong Kong, it does not equate to Beijing's ownership of the Canal, which remains under the management of the Panama Canal Authority.

As tensions mounted, Panama formally lodged a complaint with the United Nations, invoking articles that prohibit threats to territorial integrity and asserting its claim to sovereignty over the Canal, which was fully transferred from the U.S. in 1999 under the Torrijos-Carter Treaties.

China, too, has reacted, emphasizing that it has no role in the operations of the canal. Chinese foreign ministry spokesperson Mao Ning stated, "China does not participate in the management and operation of the canal," further dismissing Trump's claims as baseless.

Trump's rhetoric taps into historical narratives intertwined with U.S. foreign policy and perceptions of power, reminiscent of situations from the early 20th century when the Panama Canal was constructed. The fallout of these comments includes potential diplomatic repercussions for the U.S. in Latin America, where relationships complicate the geopolitical landscape.

As Panama navigates this diplomatic minefield, its leadership remains focused on its rights and responsibilities regarding the Canal, which plays a crucial role in international trade and geopolitics.

For further details, refer to the original sources: The Guardian, Newsweek, and Reuters.