Exclusive Report: U.S. Military Eyes Panama Canal as Strategic Chokepoint Amid Trump's New Security Doctrine.

Panama has returned to the center of U.S. strategic and military planning under the renewed leadership of President Donald Trump, following new directives that elevate the Panama Canal from a commercial lifeline to a frontline in America’s geopolitical competition with China. In a classified memo revealed in March 2025, the Trump administration formally tasked the Pentagon with developing “credible military options” to ensure unfettered U.S. access to the canal, framing it as essential to American economic and national security interests.
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U.S. strategic presence in Panama reinforced under President Trump amid growing concerns over foreign influence near the Panama Canal. (Picture source: Army Recognition Group editing)

This renewed policy direction follows President Trump’s January 2025 public remarks, where he emphasized the importance of the Panama Canal to U.S. national interests, expressing concern over what he described as growing Chinese involvement. “The Panama Canal is vital to our country. It’s being operated by China. China! And they've abused it. It should have never been made,” he stated. While the canal remains under the full control of the Panama Canal Authority, an autonomous Panamanian entity, the Trump administration views increasing Chinese commercial engagement in surrounding infrastructure—such as ports and logistics hubs—as a strategic development that warrants close monitoring and a reinforced U.S. presence in the region.

On the ground, this rhetoric has translated into expanded U.S. military activity. In February 2025, U.S. Special Forces conducted joint operations with Panamanian units, focusing on jungle warfare, counter-smuggling tactics, and infrastructure defense exercises in the Darién Gap and canal-adjacent areas. These drills were part of a broader framework aimed at securing key maritime corridors and building interoperability between U.S. and Panamanian forces.

This renewed focus also aligns with the longstanding PANAMAX military exercise, a U.S.-led multinational annual drill that simulates the defense of the Panama Canal against a range of modern threats. PANAMAX, first launched in 2003, involves more than 20 partner nations, including Colombia, Brazil, Chile, and European allies. The exercise focuses on joint command and control, air and maritime defense, cyber operations, and special forces interoperability, all aimed at ensuring the canal remains open in crisis scenarios. Under the Trump administration, defense officials have proposed expanding PANAMAX's scope, both in scale and complexity, to simulate multi-domain hybrid threats, including cyberattacks and asymmetric maritime incursions.

In parallel, the U.S. Secretary of Defense visited Panama in March 2025, meeting with national leaders to deepen military ties and reaffirm Washington’s commitment to regional stability. The visit was seen as a direct response to China's growing footprint in Panama and included discussions on shared surveillance, infrastructure hardening, and logistical support frameworks to increase Panama’s resilience in the event of canal disruption or external coercion.

Inside the Pentagon, planners are now evaluating a range of new tactical options, including enhanced ISR ((Intelligence, Surveillance and Reconnaissance) drone patrols, rotational deployment of maritime assets, forward logistics hubs, and cyber protection measures for critical canal infrastructure. Discussions also include satellite monitoring and special operations rapid deployment units trained specifically for canal-area scenarios.

While the Trump administration emphasizes that no permanent U.S. bases are planned, the emerging doctrine is based on flexible, forward-operating presence, often through prepositioned assets and dual-use staging areas. These steps would enable the U.S. to maintain a scalable and persistent military posture in the region without returning to the pre-1999 basing model that dominated U.S.-Panama relations during the 20th century.

For Panama, this intensifying interest presents both strategic opportunities and diplomatic challenges. As it attempts to balance economic ties with China and historical security cooperation with the U.S., Panama faces pressure to clarify its alignment without jeopardizing national sovereignty. While welcoming increased assistance in areas like counter-narcotics and cyber defense, Panamanian officials remain wary of any perception that the country could once again become a proxy battleground between major powers.

Ultimately, Panama’s strategic location ensures it will remain a critical factor in U.S. defense policy for years to come. As President Trump’s administration prioritizes access denial scenarios, supply chain protection, and counter-influence operations in the Western Hemisphere, the canal and its surrounding territory are being recast not just as infrastructure—but as a strategic asset that must be defended with military planning, regional alliances, and forward presence.