A bulk carrier and a cargo ship transit the Panama Canal in Panama City on March 12, 2026. Matias Delacroix/AP Photo
The top U.S. naval officer warned against Chinese influence around the Panama Canal during regional talks in Panama, calling access to the route vital for security and trade.
Adm. Daryl Caudle made the remarks while attending the Inter-American Naval Conference in Panama City, where naval leaders from across the Americas gathered to discuss maritime security and cooperation.
According to video footage of his comments, Caudle said the United States and Panama needed to maintain close ties to ensure that countries such as China could not interfere with access to the canal.
He said the two countries must make sure “that a country like China can’t come in and dictate terms in the canal’s use.”
Caudle also said the two should share information to address threats to the strategic waterway, which he described as a national security priority because it allows the movement of naval forces and commercial shipping between the Atlantic and Pacific oceans.
Official U.S. Navy statements confirmed his participation in the opening of the conference. The service said commanders from across the Western Hemisphere were meeting to strengthen regional security cooperation.
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The Panama Canal is a major international shipping route under full Panamanian sovereignty and operated by the Panama Canal Authority. Under treaties signed with the United States, it remains permanently neutral and open to vessels of all nations.
Caudle’s remarks come as Washington has expressed concerns about potential foreign influence near the canal.
In March 2025, Hong Kong-based CK Hutchison Holdings agreed to sell its global ports business, including terminals near both ends of the canal, to a group led by BlackRock. The terminals are separate from the canal itself and were operated under concessions granted by Panama.
In early 2026, Panama’s Supreme Court ruled the original concession agreements unconstitutional and authorities later assumed control of the facilities.
Panama has repeatedly said it retains full control over the canal and rejects suggestions that any foreign power controls the waterway.
The Inter-American Naval Conference has long served as a forum for cooperation among navies in the Americas. Past meetings have focused on maritime security and other shared regional challenges.
The United States has regularly used the gathering to strengthen ties with regional partners. Senior U.S. naval leaders have attended previous conferences and emphasized cooperation and information sharing.
No new agreements were announced during the opening of this year’s conference, which continues with discussions on broader regional maritime issues.
AP contributed to this report.