Panama turns to U.S. lobbyists to deal with Trump’s canal threats

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Panama turns to U.S. lobbyists to deal with Trump’s canal threats
Credit: The Whitehouse

According to Politico and O’Dwyer, the Panama Maritime Authority (AMP) has agreed to a six-month contract with Checkmate Government Interactions, a US company associated with Trump, to help with interactions with US officials and the Trump administration.

Reports state that the deal started in May and that the AMP would pay a cost of $195,000 each month for six months. Although the Panama Maritime Authority, which is in charge of managing Panama’s vast maritime registry and ports, has previously engaged a number of US corporations for lobbying, this is the first time the Panamanian government has done so.

The AMP is run by Checkmate managing partner Ches McDowell, who is reportedly close to Donald Trump Jr., along with partners Fritz Vaughan and Ryan O’Dwyer. Thanks to its connections to Trump, the lobbying tactic from North Carolina has lately spread to Washington.

President Donald Trump has frequently denounced what he considers to be undue Chinese influence over the Panama Canal, focusing in particular on the Hong Kong-based corporation CK Hutchison Holdings’ control of the ports of Balboa and Cristobal. Asserting that the canal was first constructed by the United States and that “we didn’t give it to China, we gave it to Panama, and we’re taking it back,” Trump asserted in his inaugural speech that “China is operating the Panama Canal” and that the United States would “take it back.”

Trump’s rhetoric escalated with threats to demand the return of the canal to U.S. control if Panama did not treat American shippers fairly, referencing the 1977 treaty that transferred control to Panama in 1999. He suggested that if the treaty’s principles were not respected, the U.S. would reclaim the canal “quickly and without question,” a stance firmly rejected by Panama’s president, who emphasized Panama’s sovereign control over the canal.

U.S. Defense Secretary Pete Hegseth recently visited Panama and signed a Memorandum of Understanding (MoU) to strengthen military cooperation and support for the Panama Canal security. Through training, rotating U.S. troop deployments, and collaboration to counter Chinese influence in the area, this pact seeks to enhance cooperative security operations.

China’s increasing influence in Panama, particularly through the Belt and Road Initiative and CK Hutchison’s port activities, was seen as a strategic danger by the Trump administration. To offset China’s influence, the U.S. responded by promoting American investments, closely examining concessions held by China, and pursuing diplomatic initiatives. In order to improve bilateral relations and allay worries about China’s involvement in the canal’s operations, Secretary of State Marco Rubio held discussions with Panama.

Research Staff

Research Staff

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