Sparked by President-elect Trump's concerns about growing Chinese influence, House Republicans have introduced legislation aiming to bring the Panama Canal back under US control. Rep. Dusty Johnson (R-SD) spearheaded the "Panama Canal Repurchase Act," arguing that China's presence around the canal poses a security risk and that US ownership would bolster national strength.

The bill has garnered support from 15 Republican co-sponsors and would empower the President, in conjunction with the Secretary of State, to negotiate with Panama for the canal's reacquisition. A progress report to Congress is required within 180 days of the bill's enactment.

The proposed legislation underscores the canal's strategic importance. The US State Department estimates that roughly 72% of vessels transiting the canal are linked to US ports. The canal is also vital for the US Coast Guard and Department of Defense, offering a significant shortcut compared to the 8,000-mile journey around South America. Furthermore, the canal generates billions in tolls, presenting a potential economic boon for the US.

During a press conference, Trump defended his stance, emphasizing the canal's economic and military significance and expressing concerns about its current management. He asserted that the canal, originally constructed for US military purposes, was a gift to Panama, not China, and that this gift has been misused. Panama, however, denies any Chinese control over the canal, which was transferred to Panamanian authority in 1999 under a treaty negotiated by former President Jimmy Carter.

Johnson's office highlighted China's expanding influence in the region, noting Panama's participation in China's Belt and Road Initiative and increasing Chinese investment in canal infrastructure. Additionally, two ports flanking the canal are managed by Hutchison Ports PPC, a Hong Kong-based company. Concerns have been raised about the potential impact of China's national security laws on Hong Kong, which could compel companies to cooperate with intelligence and military activities.

While the Panamanian government refutes claims of Chinese control, the introduction of the Panama Canal Repurchase Act reflects growing unease within the US regarding China's presence in the region and its potential implications for US interests.