U.S. Secretary of State Marco Rubio met with Panama’s President José Raúl Mulino for discussions as protesters took to the streets against President Donald Trump’s proposal to reclaim control of the Panama Canal.
During the meeting, Rubio conveyed Trump’s concerns over China’s involvement in the canal, stating that it posed a threat and required urgent action. According to a statement from the U.S. State Department, he warned that if necessary changes were not implemented, the U.S. would take steps to “protect its rights” under its treaty with Panama.
Since Trump began advocating for “taking back” the canal, Panamanian officials have been seeking clarification from Rubio regarding potential concessions that might appease Washington.
Panama dismisses US control of Canal
Panama’s President José Raúl Mulino firmly stated that the sovereignty of the Panama Canal was non-negotiable but expressed willingness to assist in repatriating migrants traveling through Panama toward the U.S.—provided Washington financed the initiative.
He proposed expanding an existing agreement with the U.S. to deport non-Panamanian migrants who cross the Darién Gap, a dense jungle on Panama’s southern border with Colombia. Following the meeting, Mulino said the expanded deal could cover deportations of individuals from Venezuela, Colombia, and Ecuador.
“We had a very respectable and cordial meeting,” he said, while making it clear that the canal “is operated by our country and will continue to be.”
Additionally, Mulino announced that Panama would not renew its Belt and Road Initiative partnership with China and extended an invitation for increased U.S. investment in the country.
US concerns
On his first major diplomatic tour in the region, U.S. Secretary of State Marco Rubio is working to strengthen ties with Central America and the Caribbean, with a particular focus on curbing migration to the U.S. Prior to Donald Trump’s presidency, Panama’s President José Raúl Mulino had already signed agreements with Washington to enhance deportations and surveillance along the Darién Gap. In January, migration through the area dropped by 94% compared to 2023.
Trump’s renewed focus on the Panama Canal has heightened tensions. Last week, The Guardian reported that a U.S. Senate committee accused Panama of mismanaging the waterway. Years of drought have led to a reduction in canal traffic, with a limited number of transit slots being auctioned for as much as $4 million. Experts suggest that constructing a new dam on the Rio Indio could help resolve the crisis, but they acknowledge that it would be a complex and expensive project.
Trump, however, is advocating for stronger action. He recently dismissed an audit of ports near the canal, commissioned by Panama’s government, stating that it was “not enough.” He further claimed that Panama had “totally violated” its agreement with the U.S. when the canal was transferred in 1999. “They’ve already offered to do many things,” Trump told reporters, “but we think it’s appropriate that we take it back.”
Protests in Panama
As Marco Rubio met with President José Raúl Mulino, around 200 protesters took to the streets of Panama City, waving national flags and chanting, “Marco Rubio out of Panama” and “Long live national sovereignty.” Some demonstrators burned a banner featuring images of Donald Trump and Rubio before riot police intervened.
Union leader Saul Mendez criticized Rubio as “the imperial messenger” and firmly stated, “We reiterate that there is absolutely nothing here for Trump. Panama is a free and sovereign nation,” as reported by The Guardian.
Meanwhile, China has rejected Trump’s assertions, emphasizing that it does not control the canal and fully respects Panama’s sovereignty. The waterway is operated by the Panama Canal Authority, an independent agency under the Panamanian government.
Despite rising tensions, Mulino has remained steadfast, asserting that any significant concessions regarding the canal’s management or fee structure—both crucial to Panama’s budget—are not open for negotiation.