Trump Demands Free Passage for U.S. Ships Through Panama and Suez Canals

President Donald Trump said U.S. military and commercial vessels should be allowed to pass through the Panama and Suez Canals without paying fees, and he has directed Secretary of State Marco Rubio to address the issue "immediately."

"U.S. ships, both military and commercial, should move through the Panama and Suez Canals for FREE! Without the United States, neither of these canals would exist," Trump posted on Truth Social on April 26. He added that he had ordered Rubio to "handle it right away."

Officials from Panama and Egypt have not yet commented.

The Panama Canal, spanning more than 50 miles, is a critical link between the Pacific and Atlantic Oceans, significantly shortening shipping routes and eliminating the need for vessels to sail around South America's southern tip. Roughly 5% of global maritime trade passes through the canal each year.

The United States built the Panama Canal and controlled its surrounding territory for decades before fully transferring ownership to Panama in 1999, following a period of joint administration. Today, the canal remains vital to U.S. maritime traffic, with about 40% of America's container trade moving through it.

Trump has previously warned that he might seek to "take back" control of the Panama Canal, even suggesting the use of force—a stance that drew strong opposition across Latin America.

The Suez Canal, stretching over 120 miles, links the Red Sea with the Mediterranean Sea and offers the shortest shipping route between Europe and Asia. Around 10% of the world's trade by value moves through the canal.

Maritime traffic through the Suez Canal has faced major disruptions since November 2023, when Yemen’s Houthi rebels began attacking ships transiting the Red Sea and Gulf of Aden in solidarity with Palestinians in Gaza. In response to U.S. and British airstrikes on Houthi targets, many shipping companies have rerouted vessels around Africa’s Cape of Good Hope, significantly extending journey times.

Egypt reported last year that Suez Canal revenue had fallen by 60%, amounting to a $7 billion loss.

(Sources: Reuters, AFP)

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