House Republicans enter bill to rebuy Panama Canal amid Trump’s China concern

House Republicans introduced a bill on Thursday to repurchase the Panama Canal, following concerns raised by President-elect Trump about Chinese control over the critical waterway. The bill, named the Panama Canal Repurchase Act, was introduced by Rep. Dusty Johnson, R-S.D., a member of the Select Committee on China and the House Transportation and Infrastructure Committee.

In a statement, Rep. Johnson emphasized the importance of America projecting strength abroad, stating that owning and operating the Panama Canal could be a crucial step towards a stronger America and a more secure globe. The bill has garnered support from 15 other Republican co-sponsors, including prominent members such as Reps. Dan Crenshaw, Randy Weber, and Troy Nehls.

If passed into law, the bill would grant the president authority to initiate negotiations with the Government of the Republic of Panama to reacquire the Panama Canal. The U.S. Department of State estimates that around 72% of all vessels passing through the canal are heading to or coming from a U.S. port, highlighting the strategic importance of the waterway to the United States.

Noting the economic benefits of the canal, Johnson’s office highlighted that more than 10,000 ships utilize the waterway annually, generating billions of dollars in tolls that could economically benefit America. Without access to the canal, ships would be forced to travel an additional 8,000 miles around South America.

During a press conference at his Mar-a-Lago estate in Palm Beach, Florida, President-elect Trump expressed the need for the Panama Canal for economic security, citing concerns about China’s current control over the waterway. The Panamanian government has denied these claims, stating that China does not control the canal.

However, Johnson’s office pointed to China’s increasing influence in the region surrounding the Panama Canal. In 2018, Panama became the first country in Latin America to join China’s Belt and Road Initiative, leading to investments from Chinese firms in canal infrastructure. Additionally, Chinese companies have been granted managing rights for the seaports on either side of the canal.

The bill proposed by House Republicans aims to address these concerns and ensure that the United States maintains control over the vital waterway. By repurchasing the Panama Canal, America could strengthen its position in the region and safeguard its economic and national security interests.