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‘Rip-off’: Trump threatens to retake Panama Canal over “exorbitant” fees

President-elect Donald Trump issued a fiery warning late Saturday, claiming he may reclaim control of the Panama Canal if Panama doesn’t lower what he called “ridiculous” fees charged to U.S. vessels.

“The fees being charged by Panama are outrageous,” Trump wrote on Truth Social. “This complete ‘rip-off’ of our Country will immediately stop….”

Panama Canal Fees in Trump’s Crosshairs

The Panama Canal, built by the United States in the early 20th century, charges varying tariffs for passage, ranging from $0.50 to $300,000 depending on the vessel. The U.S. handed over control of the canal to Panama in 1999 under treaties signed by former President Jimmy Carter in 1977.

Trump lashed out at Carter for what he called the “foolish” decision to cede the canal. “When President Jimmy Carter gave it away for One Dollar, it was for Panama to manage—not China, or anyone else,” Trump wrote, hinting at concerns about Chinese influence.

Legal Challenges to Retaking the Canal

Experts, however, have noted that the treaties do not grant the U.S. the authority to reclaim control of the canal, even if disputes arise. According to Politico, Trump’s threats are unlikely to hold up under international law.

This isn’t the first time Trump has made bold geopolitical suggestions. Just last week, he floated the idea of making Canada the 51st state, citing frustrations over subsidies and tariffs.

“No one can answer why we subsidize Canada to the tune of over $100,000,000 a year,” Trump said on Truth Social. “Many Canadians want Canada to become the 51st State… 51st State!!!”

As Trump prepares to take office, his unorthodox proposals are already stirring international debates, with critics questioning their feasibility and implications for U.S. foreign policy.

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