Feb. 7 (UPI) — Secretary of State Marco Rubio on Thursday said it was “absurd” that Panama charges U.S. government ships to use its canal, walking back a State Department proclamation claiming the Latin American country had agreed to allow their vessels to transit the important trade route for free.
The embarrassing retraction comes as Rubio is concluding his first international trip as the United States’ top diplomat, which began Saturday with a stop in Panama, a country that has become a focus of the Trump administration as President Donald Trump has sought to retake control of the canal.
On Wednesday night, the State Department issued a statement claiming “The government of Panama has agreed to no longer charge for U.S. government vessels to transit the Panama Canal — a claim that was swiftly denied by the Panama Canal Authority, which said no such agreement had been made.
Before reporters on Thursday in the Dominican Republic, Rubio clarified that they have “expectations” that Panama will not charge U.S. vessels for using the canal as the U.S. military is obliged to protect it if it comes under attack.
The canal, built by the United States in the early 1900, was handed over the Panama in the 1990s, following treaties signed between the two countries in the late 1970s, according to the U.S. Office of the Historian.
“I find it absurd taht we would have to pay fees to transit a zone that we are obliged to protect in a time of conflict,” he said during the press conference with President Luis Abinader in Santo Domingo.
Rubio met with Panama’s President, José Raúl Mulino, at the start of his trip. Read outs from the meeting show that Rubio told Mulino that the current situation with the canal was “unacceptable,” referring to Chinese interests in the region.
He stated, without proof, that China’s influence over the canal violated their treaties while warning that absent immediate changes, the United States would take necessary measures.
There is no evidence that the Chinese government has control of the canal. Panama Ports, a subsidiary of the Hong Kong-based CK Hutchison Holdings, operates two ports at the canal.
Mulino told Rubio during their meeting that the the canal is an autonomous entity. He has also said the sovereignty of the canal is not up for debate.
Rubio remarked Thursday that he made clear the United States expectations during those conversations earlier this week, while suggesting it may take time for the U.S. wants to be implemented.
“Those are our expectations. They were clear. They were clearly understood in those conversations,” he said. “But I respect very much the fact that Panama has a process of laws and procedures that they need to follow as it relates to the Panamanian port.”
“We’ll allow them to work through those processes. We intend to make it amicable.”
During his own press conference Thursday, Mulino reiterated that his government will safeguard Panama’s sovereignty and interests, while warning the United states that their relationship cannot be “on the basis of falsehoods.”
“I am very surprised by yesterday’s statement form the Department of States because they are issuing important, sintutiontal communications from the entity that governs U.S. foreign policy under the President of the United States based on a falsehood, and that is intolerable. Simply and plainly intolerable,” he said, according to a readout from his office.
“Panama express my absolute rejection of continuing to explore the path of managing the bilateral relationship based on lies and falsehood.”
He later on X confirmed he is scheduled to speak with Trump over the phone on Friday afternoon.
