The US has moved "a lot of troops" to Panama, President Donald Trump said, as he plans to "take back" the Panama Canal.
"We've moved a lot of troops to Panama and filled up some areas that we used to have and we didn't have any longer, but we have them now and I think it's in very good control, right?" Trump said during a televised Thursday Cabinet meeting.
Defense Secretary Pete Hegseth, sitting next to Trump, said he returned from his trip to Panama on Wednesday night.
"So, that's something you said — we're taking back the canal," Hegseth said, referring to the strategic waterway which the US built over 120 years ago and handed over to Panama in 1999.
"China's had too much influence. (Former President Barack) Obama and others let them creep in. We, along with Panama, are pushing them out, sir," he added.
During his visit, Hegseth said the US and Panama signed "a couple of historic" deals.
"One which is with the Panama Canal Authority, a framework for US vessels first and free through the Panama Canal, and then also a memorandum of understanding with their security minister for the presence of US troops Fort Sherman, an old US base there, as well as a naval station and air station, jointly with Panama to secure the Panama Canal from Chinese influence," he added.
Stressing that he had a "very successful" trip to Panama, Hegseth said: "They want the communist Chinese out, and our troops are partnering with their forces. We've got a chance to push them all the way out, sir."
On Wednesday, the US and Panama signed a memorandum of understanding on cooperative security activities, and also a joint declaration on the security and operation of the Panama Canal, which is a framework for US warship and auxiliary ships to sail "first and free" through the Panama Canal.
"This memorandum of understanding will increase joint training exercises, operations and overall interoperability between our two forces, reestablishing rotational and joint presence at Fort Sherman, Rodman Naval Station and Howard Air Force Base. At Fort Sherman, reviving the Jungle School alongside Panamanian forces," Hegseth told reporters on Wednesday.
However, the deal stops short of allowing the US to build its own permanent bases.
Panama's President Jose Raul Mulino, who visited Peru on Thursday, said he told Hegseth that US bases, allowed under an earlier draft, would be "unacceptable."
"Do you want to create a mess, what we've put in place here would set the country on fire," Mulino was quoted as saying.
Under the deal, the US recognizes Panama's sovereignty and all deployments must now receive Panamanian approval.
Panama's minister for public security, Frank Abrego, told reporters on Wednesday at a news conference alongside Hegseth that Panama would not allow permanent military bases.
Abrego said Hegseth "recognized the sovereignty of Panama over the Panama Canal" after a private meeting with officials.
Trump has repeatedly expressed a desire to reclaim the canal, citing concerns that American ships are being overcharged.
