President José Raúl Mulino and Panama Canal Authority Administrator Ricaurte Vazquez welcomed U.S. Secretary of Defense Pete Hegseth to Panama on April 8, 2025.
During this visit, the leaders reaffirmed the historic security relationship between the Republic of Panama and the United States of America.
They agreed our two nations must stand shoulder-to-shoulder in their mutual commitment to address shared security challenges. The leaders recognized the robust foundation and legacy of bilateral security cooperation, including over $230 million in U.S. Department of Defense and Department of State security assistance to Panama in the past five years.
Secretary Hegseth strongly welcomed President Mulino's commitment to make Panama the first country in our hemisphere to exit the Belt and Road Initiative, and to reduce China's problematic presence in other areas.
Secretary Hegseth also congratulated President Mulino for Panama's efforts to reduce illegal immigration and for closing the border in the Darién.
Mindful of these bilateral obligations, President Mulino, Administrator Vazquez and Secretary Hegseth committed their joint resolve to strengthen bilateral Canal security cooperation.
In coordination with the Panama Canal Authority and in recognition of the constitutional framework of the Panamanian state, the statutory relationship with the Panama Canal Authority, and the obligations of the Treaty, the expedited transit of warships and auxiliary vessels of the Republic of Panama and the United States is guaranteed.
- Additionally, in recognition of the Treaty obligation regarding the payment of tolls and other charges under the Neutrality framework, the Republic of Panama and the United States of America will work, as established, on a mechanism to compensate for the payment of tolls and charges, in accordance with the legal and constitutional frameworks of both countries: First and Free.
- Collaborating to enhance and strengthen Panama's security capabilities, including through a Memorandum of Understanding that will enable increased bilateral activities between the U.S. military and Panamanian security forces and will support mission needs at joint-use locations;
- Reinvigorating the High-Level Security Dialogue toward achieving a robust agenda of bilateral planning and preparedness that prioritizes Canal security and defense, to include discussion of issues related to commercial shipping;
- Signing of a Joint Statement of Understanding between Minister Abrego and Admiral Holsey for enhanced security cooperation through professional education and capacity-building between Panamanian security forces and the U.S. military;
- Reconcentrating bilateral training and exercises in Panama, including through commitments to resume regular joint jungle operations training and to reestablish the 2026 PANAMAX exercise for Canal defense in Panama;
- Leveraging Department of Defense expertise and resources to advise the Government of Panama to strengthen its strategic, cyber security, and maritime security planning;
- Advancing arrangements between the United States and the Panama Canal Authority (ACP) toward the continued safe, secure, and neutral operation of the Panama Canal, including through the recent signing of a Cyber Cooperation Arrangement between U.S. Southern Command and the ACP to identify areas for enhanced bilateral cyber cooperation; and through a recent U.S. Army Corps of Engineers Memorandum of Understanding with the ACP that will continue to provide its expertise and technical support to ensure the long-term sustainability of the Canal.
