Panama begins audit of Canal ports operator after Trump’s bold claims

Panama’s government has initiated an audit of Hutchison Ports, a Hong Kong-based company operating ports at both ends of the Panama Canal.

This move follows US President Donald Trump’s critical remarks during his inauguration speech, where he claimed the 1999 transfer of the canal to Panama was a “mistake” and suggested the US might “take it back” due to alleged Chinese influence, Caliber.Az reports referencing foreign media.

The Office of the Comptroller General shared footage of officials arriving at Hutchison Ports’ offices, stating the audit aimed to ensure “efficient and transparent use of public resources.” Hutchison Ports, part of CK Hutchison Holdings owned by billionaire Li Ka-shing, has managed the ports since 1997, with concessions renewed in 2021. The company operates 53 ports across 24 countries, including the UK and Australia.

While China does not control the canal, Washington has voiced growing concerns over Chinese companies’ presence in the region. Trump’s criticism of high transit fees and the canal’s drought-related restrictions last year added to the tension. “We didn’t give it to China; we gave it to Panama, and we’re taking it back,” Trump said, referencing the canal’s rising fees and strategic importance.

Panama’s President José Raúl Mulino strongly rejected Trump’s comments, asserting that the canal’s handover was the result of a “generational fight” culminating in 1999. “The canal wasn’t given by anyone. It is and will remain Panamanian,” Mulino stated, calling for dialogue with the US while rejecting interference in its administration.

The audit reflects Panama’s strategic alignment with the US, though it has also deepened ties with China, recognizing Beijing over Taiwan during Trump’s first term. The review signals Panama’s intent to address both local concerns and international scrutiny surrounding the canal’s operations. Hutchison Ports has yet to respond to the audit announcement.

By Tamilla Hasanova