Panamanian President José Raúl Mulino has rejected claims by US President-elect Donald Trump that Chinese soldiers are stationed at the Panama Canal.
In recent days, Trump threatened to bring the canal back under U.S. control and accused Panama of “ripping off” the U.S. by charging high shipping fees.
In a message posted to his Truth Social account on Wednesday, Trump wrote: “Merry Christmas to everyone, including the wonderful soldiers of China who lovingly but illegally operate the Panama Canal.”
Mulino called the claim “nonsense” and said there was “absolutely no Chinese interference.”
“There is not a single Chinese soldier in the canal,” he told reporters in Panama City.
Mulino also rejected the possibility of reducing tolls on U.S. ships or relinquishing control of the canal, a key shipping channel connecting the Atlantic to the Pacific.
“The canal is Panamanian and belongs to the Panamanians. There is no way to initiate any kind of discussion about this reality,” he said.
After breaking ties with Taiwan, Panama established diplomatic relations with China in 2017, and Mulino said relations between the two countries were “respectful and well-managed… in terms of what is in the interests of both countries.”
His comments came a day after Trump said he would name a Florida lawmaker as his ambassador to Panama.
Kevin Marino Cabrera, a Republican commissioner in Miami-Dade County, worked for Trump’s 2020 campaign and was Florida’s representative to the Republican National Committee this year.
Trump announced his choice in a Christmas post on his Truth Social network, saying Cabrera would do “a fantastic job representing our nation’s interests in Panama!”
The president-elect also repeated the claim that Panama is “ripping us off.”
On Sunday, Trump told a crowd of conservative activists: “The fees charged by Panama are ridiculous and highly unfair.”
If shipping fees are not reduced, Trump said, “we will demand that the Panama Canal be returned to us in full, quickly and without questions.”
Trump also said he didn’t want the Panama Canal to “fall into the wrong hands,” specifically referring to China.
China is the second largest user of the Panama Canal after the United States, according to the data, and has also made major investments in the Central American country.
On Christmas Day, Trump sent dozens of messages defending his policies and nominations and repeating suggestions that the U.S. should annex Greenland and Canada.
It is unclear how serious Trump is about the territorial moves and how they will be carried out.
Up to 14,000 ships pass through the 51-mile (82 km) canal each year, including container ships carrying cars, natural gas and other goods, as well as military vessels.
The canal was built at the beginning of the 20th century. The US retained control of the Canal Zone until 1977, when treaties gradually ceded the land to Panama. After a period of shared control, Panama assumed sole control in 1999.
According to shipping industry website Lloyd’s List, the cost of canal transport rose last year due to a historic drought.
A Hong Kong-based company, CK Hutchison Holdings, manages two ports at the canal entrances.
