US to deploy troops to Panama Canal under new deal

The joint deal stops short of allowing the US to build its own bases on the waterway but is a major concession to Donald Trump as he seeks to re-establish US influence over the canal.

A cargo ship transits through Panama Canal Cocoli locks in Panama City. Picture; AFP.

US troops will be able to deploy to a string of facilities along the Panama Canal under a joint deal, a major concession to Donald Trump as he seeks to re-establish US influence over the vital waterway.

The document, signed by top security officials from both countries, allows US military personnel to deploy to Panama-controlled facilities for training, exercises and a range of other activities.

The agreement stops short of allowing the United States to build its own bases on the isthmus, a move that would be deeply unpopular with Panamanians and legally fraught.

But it gives the United States broad sway to deploy an unspecified number of personnel to former bases, some of which Washington built when it occupied the Canal Zone decades ago.

Trump, since returning to power in January, has repeatedly claimed that China has too much influence over the canal, which handles about 40 per cent of US container traffic and five per cent of world trade.

His administration has vowed to “take back” control of the strategic waterway that the United States funded, built and controlled until 1999.

AFP