U.S. Secretary of Defense Pete Hegseth announced Tuesday that the United States and Panama are working closely to reduce China’s presence around the Panama Canal. Speaking during a joint press conference in Panama, Hegseth said the two countries have strengthened their defense partnership to protect the vital waterway from what he called “China’s growing influence.”
“The United States of America will not allow communist China or any other country to threaten the canal’s operation or integrity,” Hegseth said. “Together, we will take back the Panama Canal from China’s influence.”
The Panama Canal is one of the world’s busiest and most strategic trade routes. Roughly 5% of global trade moves through it, linking the Atlantic and Pacific Oceans.
U.S.-Panama Partnership Grows Stronger
In recent weeks, the U.S. and Panama have reportedly expanded military and security cooperation. Hegseth highlighted several joint exercises, operations, and a stronger military presence in the region. Though the Pentagon has not confirmed new deployments, the comments suggest Washington is increasing its focus on Central America.
“Our relationship with Panama, especially our security relationship, will continue to grow in the months and years ahead,” Hegseth said. “This is necessary to meet communist China’s rising challenges.”
Panama has long denied claims that China controls the canal. However, China-based companies operate two major ports on either end of the waterway, raising concerns in Washington about potential surveillance and influence.
Panama Withdraws from China’s Belt and Road
Earlier this year, Panama officially ended its participation in China’s Belt and Road Initiative. The 2017 deal had allowed Beijing to invest in Panamanian infrastructure projects.
The move marked a shift in Panama’s foreign policy, aligning more closely with the United States. While the Panamanian government has not said that the decision was due to pressure from the U.S., analysts believe the timing shows growing cooperation between the two countries.
“This signals a clear message,” said Sofia Martinez, a regional security analyst based in Bogotá. “Panama wants to distance itself from China and return to a stronger alliance with the U.S.”
Hegseth: “China Will Not Weaponize the Canal”
Hegseth warned that companies tied to the Chinese government are installing key infrastructure in the region. He expressed concern that these installations could be used for spying or other hostile activities.
“China did not build this canal. China does not operate this canal. And China will not weaponize this canal,” Hegseth said.
Though the Chinese embassy in Washington, D.C. did not respond to a request for comment, Chinese officials have previously rejected U.S. claims. They argue that China’s investments in Latin America are purely economic and not part of any political agenda.
Global Importance of the Canal
The Panama Canal handles over 13,000 ship crossings each year. It plays a key role in global supply chains, especially for shipments of oil, grain, and consumer goods.
Experts say that the U.S. has long viewed the canal as a strategic asset. Any foreign influence over the region could pose a risk to U.S. interests.
“The canal is not just a commercial route. It is a vital artery of the global economy,” said Michael Rendon, a defense expert at Georgetown University. “Any disruption or control by a geopolitical rival like China would concern Washington.”
What Comes Next
For now, it remains unclear whether the U.S. will send more troops or ships to the region. Hegseth did not offer details about future deployments. However, the tone of his remarks suggests long-term cooperation with Panama.
Both countries may also explore joint infrastructure projects to reduce reliance on Chinese companies. Officials hinted that new agreements could be announced later this year.
The situation continues to develop, and Creaze News will update this story as more details become available.
