Republicans introduce bill authorizing Trump to buy Panama Canal

[Ray Bogen]

A group of House Republicans introduced a bill to authorize the purchase of the Panama Canal. Rep. Dusty Johnson, R-S.D., and more than a dozen of his colleagues brought it forward after President-elect Trump expressed interest in bringing the canal back under American ownership for national security and economic reasons. 

Johnson said President Trump is right to consider repurchasing the Panama Canal. The People’s Republic of China has made significant investments in canal infrastructure and PRC companies have managing rights for two ports on either side. 

Johnson said in a statement: “China’s interest in and presence around the canal is a cause for concern. America must project strength abroad – owning and operating the Panama Canal might be an important step towards a stronger America and a more secure globe.”

The canal opened in 1914 after the United States spent a decade building it. Ships can pass through in eight to ten hours, saving them an 8,000 mile journey around South America’s Drake Passage, which is one of the roughest and most dangerous crossings in the world.  

More than 10,000 ships use the canal each year, including U.S. Coast Guard and military vessels. According to the State Department, 72% of the ships that pass through are either coming from or going to a U.S. port. 

Some of the largest ships pay hundreds of thousands of dollars to transit. Those tolls generate billions of dollars in yearly revenue. 

In 1903, the United States gained permanent rights to the Panama Canal Zone when President Theodore Roosevelt signed a treaty with newly independent Panama. The Canal cost $375 million to build, which up to that time was the United States’ most expensive construction project. President Jimmy Carter gave Panama control of the canal in 1978.