Overview

• Panama has authorized U.S. military forces to operate near the Panama Canal under a bilateral agreement signed on April 11, 2025.
• The agreement allows joint use of Panamanian facilities for military training, humanitarian activities, and exercises over a renewable three-year period.
• Panamanian leaders have emphasized that the canal's sovereignty remains intact and rejected the establishment of permanent U.S. military bases.
• The U.S. aims to counter growing Chinese influence in the region, with President Trump suggesting the possibility of regaining control over the canal.
• The decision has sparked domestic dissent, with critics labeling the agreement a betrayal of national sovereignty and invoking historical grievances over past U.S. interventions.