“Look, the Panama Canal is vital to our country. It’s being operated by China. And we gave the Panama Canal to Panama; we didn’t give it to China. And they’ve abused it,” Trump said shortly before taking office. “They’ve abused that gift.”

Panama took control of the Panama Canal, built by the United States prior to the establishment of the Panamanian state, under the 1978 Torrijos-Carter Treaties, a foreign policy priority for former President Jimmy Carter. The treaty requires Panama to keep the canal running as neutral territory without preference given to any foreign power and allows Washington to seize it if Panama violates the neutrality provision.