U.S. Floats Idea of Reviving Military Bases in Panama, Promptly Rejected by Local Government

U.S. Defense Secretary Pete Hegseth has proposed redeploying American troops to Panama and potentially reviving former military bases to help protect the strategic Panama Canal—a suggestion quickly rejected by the Central American nation.

During a visit to Panama on April 9, Hegseth said the U.S. is considering reactivating former military installations across the country and rotating troops through the region, pending approval from Panamanian authorities.

“The agreement signed this week between the U.S. and Panama presents an opportunity to restore military bases, naval and air installations, and other locations where our armed forces can enhance capabilities and rotate jointly,” Hegseth stated.

But the Panamanian government was quick to dismiss the idea. “President Jose Raul Mulino has made it clear that Panama does not agree to hosting foreign military bases or defense facilities,” said Panama’s Security Minister Frank Abrego.

Hegseth also said the U.S. is seeking an arrangement that would give American warships priority—and free—passage through the Panama Canal. Former President Donald Trump has previously criticized the fees charged for U.S. military vessels, claiming they are “unfair and excessive.”

Jose Ramon Icaza, Panama’s Minister for Canal Affairs, responded that the country may consider compensation mechanisms for naval and logistical vessels to reduce costs, but stressed, “This will not mean free passage.”

The 82-kilometer-long Panama Canal, built by the United States and opened in 1914, is one of the world's most important shipping routes. It handles about 40% of U.S. container traffic and roughly 5% of global trade annually.

The U.S. managed the canal and surrounding territory for much of the 20th century before formally transferring full control to Panama in 1999. Today, the canal is administered by an independent Panamanian authority and remains open to ships from all nations.

Trump has previously warned that the U.S. may “take back” control of the Panama Canal, even suggesting military force could be an option. That statement drew condemnation from several Latin American governments.

(Sources: AFP, AP)

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