Fox News senior strategic analyst, Gen. Jack Keane (retired), discussed efforts to negotiate a ceasefire between Russia and Ukraine, Iran’s warning of a strong response to any U.S. attack, and China’s involvement in the sale of Panama Canal ports.
Former President Donald Trump advocated for free U.S. access to two crucial global shipping lanes, a strategy that could result in significant savings for American companies. On Truth Social, Trump stated that both military and commercial American ships should traverse the Panama and Suez Canals without charge, citing the U.S.’s historical role in their existence. Trump also tasked Secretary of State Marco Rubio with addressing this issue immediately.
The Panama Canal annually manages about 14,000 transits, according to the Panama Canal Authority. In fiscal 2023, it generated approximately $3.3 billion in toll revenues, with U.S. vessels comprising around 70% of the traffic. Major American shippers, including companies like Maersk (U.S. branch), MSC, and energy exporters, are significant users of the canal.
Crossing the Panama Canal costs commercial vessels between $200,000 and $450,000, depending on size and cargo, with charges for certain vessels, such as liquefied natural gas carriers, exceeding $500,000. The Suez Canal also imposes high rates, with record revenues of $9.4 billion reported in 2023 amid Red Sea disruptions affecting U.S. and European shipping.
In early 2025, following missile and drone attacks on Red Sea shipping lanes by Houthi forces, Trump authorized military strikes against Houthi sites in Yemen. The Pentagon indicated these efforts aimed to permanently restore commercial shipping access to the Suez Canal, countering Iranian influence in the region.
Concurrently, Trump’s administration focused on securing free passage through the Panama Canal, enhancing security against Chinese influence. Defense Secretary Pete Hegseth announced an enhanced U.S.-Panama partnership to secure the canal, allowing U.S. warships preferential passage.
The Panama Canal, crucial for U.S. shipping, reduces the travel distance between the U.S. East Coast and Asia by nearly 8,000 miles. Approximately 40% of U.S. container traffic uses the canal annually. Originally built and controlled by the U.S. following its backing of Panama’s independence in 1903, the canal opened in 1914 as a symbol of American strength. U.S. control ended in 1999 with the Torrijos-Carter Treaties, yet the canal remains vital for American trade.
Trump’s proposal could provide financial benefits to various U.S. sectors reliant on maritime exports and imports. It remains uncertain how Secretary of State Marco Rubio will address this directive, potentially through diplomatic efforts, economic measures, or new agreements with Panama and Egypt.
