Jakarta – A quarter-century ago, Panama finally gained control of the Panama Canal from the United States, following a process that began over two decades earlier. Why does President-elect Donald Trump now want to take it back?
On December 31, 1999, the American flag over the Panama Canal was lowered. In its place, Panama’s flag flew high, becoming the sole symbol of the Panama Canal for the first time.
Panamanians attending the ceremony cheered in joy.
The hoisting of Panama’s flag marked the end of an era filled with protests, tensions, and loss of life.
“It was incredible to witness the reaction of the Panamanian people,” said Alberto Aleman Zubieta, a former official of the Panama Canal, to the BBC.
Twenty-five years later, sovereignty over this transoceanic passage has returned to global headlines.
President Donald Trump issued a controversial statement, criticizing the fees charged to American vessels crossing the Panama Canal.
“We are being ripped off. If this does not change, we will demand the complete return of the Panama Canal to the United States,” he stated.
“Immediately and without question,” he added.
In response, Panamanian President Jose Raul Mulino declared via social media: “Every square meter of the Canal will remain the property of Panama.”
The Timeline of the Panama Canal
A Chance Amid the Civil War
Since the 16th century, European settlers recognized the importance of building a passage connecting the Pacific and Atlantic Oceans.
At the time, the only route to the southern ocean was through the Magellan Strait in southern Chile.
This route was less than ideal due to the long distance and the hazardous weather conditions at Cape Horn.
Efforts to create a canal across the Isthmus of Panama, then part of Colombia, began in the 19th century.
Bogota granted a concession to French engineer Ferdinand de Lesseps, who had successfully constructed the Suez Canal in Egypt.
However, diseases among workers (mostly enslaved Africans), unstable terrain, and continuous rain led the project to bankruptcy.
This setback piqued American interest in the canal.
During Colombia’s recovery from a bloody civil war, the internal political crisis gave Panama the opportunity to declare independence on November 3, 1903, with U.S. backing.
Conflict and Sovereignty
The Hay-Bunau-Varilla Treaty between the U.S. and Panama granted the U.S. a permanent concession to the Canal, including jurisdiction over the Canal Zone.
The U.S. completed the canal in 1914 but tensions between the two nations continued to grow, marked by protests and violent clashes.
Path to Independence
A series of uprisings and negotiations, including the Chiari-Kennedy Agreement in 1964, led to the eventual signing of the Torrijos-Carter Treaty in 1977.
This treaty set December 31, 1999, as the official date for transferring control of the Canal back to Panama.
The Handover
As the countdown ended, Panamanian President Mireya Moscoso raised the national flag, sealing the Canal’s return.
“The Panama Canal belongs to the people of Panama,” she proclaimed.
“Panama has finally achieved its completeness as a sovereign nation.”
