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What is the Panama Canal and why has Trump threatened to take it over?

Latin American leaders on Monday rallied to Panama's defense after U.S. Presidentelect Donald Trump threatened to reimpose U.S. control over the Panama Canal, a crucial worldwide shipping route situated in the Central American nation.

WHAT IS THE PANAMA CANAL?

The Panama Canal is an 82-km (51-mile) artificial waterway that links the Pacific and Atlantic Oceans through Panama, conserving ships countless miles and weeks of travel around the stormy, icy southern idea of South America.

The journey for ships taking a trip from Los Angeles to New York is close to 8,000 miles (around 22 days) shorter by means of the canal compared to taking a trip through the Strait of Magellan off Tierra del Fuego, an island chain that embraces southern Chile and Argentina.

The canal carries ships through the Gatun Lake, some 26 meters (85 feet) above water level, through a series of interconnecting locks. Each ship's transit requires some 200 million liters (53. million gallons) of fresh water.

STRUCTURE THE CANAL

Spanish colonizers started studying the construction of an. inter-oceanic canal cutting through the isthmus at its narrowest. point, in southern Central America, as early as the 1530s. However. it was not till 1878 that Colombia - which then counted Panama. as a province - signed a concession with French engineers.

The French effort was ultimately a failure, declaring bankruptcy. in 1899. Around 22,000 employees lost their lives on the task,. many from illness and mishaps.

In 1903 the U.S. looked for a long-term concession for a canal. from Colombia, which declined the proposal. In response, the. U.S. supported Panama's independence, which was stated on Nov. 3.

Three days later, Panama's ambassador to Washington signed a. treaty approving the U.S. rights to develop and forever. administer the canal. The U.S. paid Panama $10 million and later on. a $250,000 annuity for the rights. Many Panamanians condemned. the treaty as an infringement on their newfound sovereignty.

The U.S. building was mostly carried out by. Afro-Panamanian and Caribbean employees, over 5,000 of whom died. before the canal lastly opened in 1914.

THE HANDOVER

Throughout the 20th century, U.S.-Panama stress aggravated and. there were growing protests against U.S. control of the canal,. especially after the Suez Canal crisis in 1956, when British and. French strategies to get into Egypt after it nationalized the Suez. Canal were halted after U.S. pressure.

In 1977, President Jimmy Carter signed a treaty with. Panamanian military leader Omar Torrijos that given Panama. totally free control over the canal and ensured the waterway's. permanent neutrality.

This worked on Dec. 31, 1999. The canal has because been. administered by the Panamanian federal government's Panama Canal. Authority, and stays an essential income source for the nation.

CURRENT DEVELOPMENTS

Climate change has added to increasing droughts that. have actually affected water levels in the lakes feeding the canal,. forcing the canal authority to limit transits as it stabilizes. Panamanians' water requirements.

On Sunday, Trump threatened to reimpose U.S. control, mentioning. what he stated were excessive fees to use the canal and a danger of. Chinese influence. A subsidiary of Hong Kong-based CK Hutchison. Holdings has actually long handled two ports near canal. entrances.

It was given to Panama and the people of Panama, but it. has provisions, Trump said of the canal.

If the concepts, both ethical and legal, of this. magnanimous gesture of giving are not followed, then we will. need that the Panama Canal be gone back to us, completely, rapidly. and without concern.

PANAMA'S ACTION

Panamanian President Jose Raul Mulino rejected Trump's. hazard. He said the canal's tariffs were carefully and. transparently evaluated, which these maintain the canal and. helped broaden it in 2016, improving traffic and international trade.

Every square meter of the Panama Canal and its surrounding. location comes from Panama and will continue to do so, he stated in a. statement on Sunday. Our country's sovereignty and independence. are not negotiable.

The canal is not under any direct or indirect control from. China, the European community, the United States, or any other. power, Mulino added.

(source: Reuters)