The White House has directed the U.S. military to draft options for increasing American troop presence in Panama as part of President Trump’s goal to reclaim control of the Panama Canal, according to two U.S. officials.
U.S. Southern Command is developing strategies ranging from closer military cooperation with Panama to the less likely option of forcibly seizing the canal. The Trump administration aims to counter China’s influence in the region, particularly its access to the canal. Both Panama and China deny any foreign interference, with Chinese officials accusing the U.S. of “coercion” in pressuring Panamanian leaders.
Adm. Alvin Holsey, commander of U.S. Southern Command, recently presented draft strategies to Defense Secretary Pete Hegseth, who is expected to visit Panama next month. Trump has privately told advisers he considers a U.S. military presence in the canal zone essential, advocating for a visible deployment of American troops.
Officials warn that China’s growing presence near the canal could allow Beijing to block U.S. shipping in a conflict. Currently, over 200 American troops rotate through Panama, including Special Forces training local forces. Potential plans include ensuring U.S. shipping access, securing or building new ports, and using the Army Corps of Engineers to operate the canal’s locks. Discussions also include reestablishing U.S. Army jungle warfare training in Panama.
The U.S. built the canal in 1914 but ceded control in 1999 under a treaty signed by President Jimmy Carter. In 1989, U.S. forces invaded Panama and removed leader Manuel Noriega. Trump has openly stated his intent to return the canal to U.S. control, reversing the decades-old transfer.














