On March 6, 2025, a major announcement shakes the world of maritime trade. The Panama Canal, a strategic waterway connecting the Atlantic Ocean to the Pacific Ocean, is now under the control of the United States. This decision, which marks a historic turning point, raises many questions about the economic, political and strategic implications for the region and the world.

Capmad explores the reasons for this return to American control, the key figures associated with this transition, as well as the outlook for the canal and global maritime trade.

Historical Background of the Panama Canal

The Panama Canal was inaugurated in 1914, after a decade of titanic construction, and was under American control until 1999, when it was transferred to the Republic of Panama. This transfer was the result of a treaty signed in 1977 between US President Jimmy Carter and Panamanian General Omar Torrijos. Since then, the canal has been managed by the Panama Canal Authority (ACP), which has overseen its operation and development.

Reasons for the Return to American Control

Several factors led to this decision to regain control of the canal.

• Maritime Security: The United States has expressed growing concerns about maritime security in the region. Piracy incidents and political tensions in the region have prompted Washington to increase its presence in the region.
• Infrastructure and Modernization: While the ACP has invested in modernizing the canal, the United States believes that additional investment is needed to keep the canal competitive with other shipping routes, such as the Suez Canal. In 2024, the ACP has announced a budget of 500 million USD for infrastructure projects, but the United States believes this is not enough.
• Trade Flows: The canal is a vital artery for global trade. In 2023, approximately 14,000 ships transited the canal, carrying 270 billion USD worth of goods. The United States wants to ensure smooth and secure access to this crucial waterway.

A Strategic Position for the United States

A consortium of investors led by the American company BlackRock, the world’s largest private asset manager, is acquiring the two main ports of the Panama Canal, which connects the Atlantic and Pacific Oceans, for a value of 22.8 billion USD.

« I want to emphasize that the transaction is purely commercial in nature and has no connection with the recent political news regarding the ports of Panama », said Frank Sixt, co-CEO of CK Hutchison, in a statement. « This is a global transaction, between private companies, motivated by mutual interests », the Panamanian government also indicated.

Since his election to the White House, Donald Trump has stated in his general policy that the return of the Panama Canal to the American fold was a priority.

Key Figures

A few key figures to better understand the importance of the Panama Canal.

• Maritime traffic: In 2023, the canal handled approximately 14,000 vessels, a 5% increase from 2022. Approximately 6% of global maritime trade transits this route.
• Revenue: Revenue generated by the canal in 2023 reached 3.5 billion USD, representing a significant share of the Panamanian budget. Approximately 30% of revenue comes from container ships.
• Jobs: The canal directly employs approximately 9,000 people and supports thousands of indirect jobs in the transport, logistics and tourism sectors.

Economic implications

The return of US control of the canal will have major economic implications.

• Increased investment: The United States plans to invest heavily in the modernization and maintenance of the canal. Estimates suggest that investments could reach USD 1 billion over the next five years, aimed at improving infrastructure and strengthening security.
• Impact on Trade: U.S. control could also influence the passage fees for ships. Currently, passage fees vary depending on the size and type of ship, but an increase in fees could be considered to finance the necessary investments.
• Bilateral Relations: This decision could also affect the relationship between the United States and Panama. While the Panamanian government has expressed concerns about the loss of sovereignty, it is also aware of the potential economic consequences of U.S. management.

The Future of the Panama Canal

The return of U.S. control of the Panama Canal opens the door to several scenarios.

• Strengthening Security: The United States could strengthen maritime security in the region, which could reduce piracy incidents and ensure safer transit for ships.
• Continued Modernization: With increased investment, the canal could become even more competitive with other shipping routes, attracting more commercial traffic.

A Major Turning Point for Global Maritime Trade

The return of the Panama Canal to U.S. control represents a major turning point for global maritime trade. With investments planned to modernize and secure this crucial waterway, the United States seeks to ensure smooth and secure access for international trade.

However, this decision also raises questions about Panama’s sovereignty and the bilateral relationship between the two countries. As the world watches this development, it is clear that the Panama Canal will continue to play a central role in global maritime trade for years to come.