“The heart of the Univers”/ How the Panama Canal changed the world

One of the most significant feats of human engineering, the Panama Canal, has returned to the spotlight following Donald Trump’s statements that he would “take it,” which he officially expressed in his first speech after inauguration.

The new U.S. president accused the Central American country of handing over the operation of the waterway to China, something the Panamanian government has categorically denied. “We didn’t give it to China. We gave it to Panama, and we’re taking it back,” Trump said.

Since its construction began in the 19th century, the Panama Canal has fascinated the world by pushing the boundaries of what is possible, overcoming international political tensions, and revolutionizing transportation. “It was a monumental engineering project that changed the world, built with the help, hands, sweat, and blood of thousands of people from 97 nationalities who came together on this very small isthmus,” said Ana Elizabeth Gonzalez, the executive director and chief curator of the Panama Canal Museum.

Why is it so important?

About 5% of the world’s total trade moves each year through the canal’s 80 km, with most of it transporting cargo between the U.S. East Coast and Asia. Around 40% of all U.S. containers pass through the canal, and over 70% of the canal’s cargo either goes to or departs from the United States.

This waterway, which connects 170 countries through 1,920 ports, is managed by the Panama Canal Authority (ACP), an autonomous governmental body.

Before the canal’s opening in 1914, ships wishing to travel between the Atlantic and Pacific Oceans had to sail beneath South America around Cape Horn, making for an extremely dangerous and time-consuming journey. From 1616, when Dutch sailors first navigated this route, approximately 10,000 sailors lost their lives along the way.

The canal reduced ship travel time by five months and the distance by 12,875 km. To date, it has served over 815,000 ships.

Today’s Panama Canal is an upgraded version of the original, following a multi-billion-dollar expansion completed in 2016 to accommodate super-large NeoPanamax-class ships, which were unimaginable at the beginning of the 20th century but are now a common sight on open seas.

A system of locks lifts ships into the man-made Gatun Lake and lowers them back to sea level, enabling them to pass from one ocean to the other.

To ensure smooth navigation through this complex system, captains are required to hand over control of their ships to one of ACP’s specialists for the 8- to 10-hour journey.

The following video explains how the lock system operates to facilitate passage from the Atlantic to the Pacific Ocean:

By 2024, canal revenues are expected to reach approximately $5 billion, contributing nearly 8% of Panama’s total annual GDP, according to a study by IDB Invest.

The History of Its Opening

American interest in creating a passage rose in the mid-19th century, as explorers sought better and faster ways to reach California.

French engineers, led by the builders of the Suez Canal, were the first to make serious moves toward building a canal in 1881. However, their efforts failed due to the deaths of more than 22,000 people from disease and accidents, as well as economic problems and corruption.

The United States purchased the rights from the French in the early 20th century. At the time, the area was controlled by the Republic of Colombia, but a U.S.-backed rebellion led to Panama’s separation from Colombia and the creation of the Republic of Panama in 1903.

American assistance for Panama’s independence led to the signing of the Hay-Bunau-Varilla Treaty in 1903. In return, the United States gained control of an 80 km long and 1 km wide strip of land for the construction of the canal. This area became known as the Canal Zone.

The project came at a heavy human and financial cost: approximately 5,600 workers, many of them from the West Indies, are estimated to have died during construction. The U.S. spent about $375 million, making it the most expensive construction project in the country’s history at that time.

The canal was completed in 1914, but its opening ceremony was canceled due to the outbreak of World War I. While the canal saw little use during the war, it became particularly critical for the Allies during World War II.

Crisis in U.S.-Panama Relations

The U.S. also used Panamanian lands for various military activities, including training astronauts and testing chemical weapons in the mid-1940s as part of Project San Jose.

“Our 20th century has been full of tensions over vastly different interpretations of the same 1903 treaty. There have been many incidents,” said Ana Elizabeth Gonzales.

Relations between the U.S. and Panama gradually deteriorated due to disputes, which occasionally turned violent, over control of the canal and the unequal treatment of Panamanians and other nationalities compared to American workers.

There were also debates over whether the U.S. or Panamanian flags—or both—should fly in the Canal Zone. At one point, Panama even severed diplomatic relations with the U.S.

It was the late President Jimmy Carter who negotiated the gradual transfer of the canal to Panamanian control in 1977, a process that was completed on New Year’s Eve 1999.

Panama has taken significant steps to address the multiple challenges related to managing the Panama Canal, which remains one of the most critical arteries of global trade. Since taking control of the canal, the country has achieved notable successes, such as doubling revenues and improving safety. Today, the majority of the workforce is local, representing a significant shift from the past.

The Drought Problem

One of the biggest current challenges is water scarcity. The year 2023 marked one of the driest years on record, limiting the canal’s capacity to allow ships to pass through. This situation has raised concerns about the potential impacts on global supply chains.

To address this crisis, the Panamanian government and the Panama Canal Authority (ACP) have taken important steps, such as creating a new artificial lake and investing in water recycling technology. Meanwhile, the ACP has announced that it is seeking long-term solutions to ensure the canal’s continuity as a vital component of the global economy and the country’s water resources.

Conclusion

Panama remains committed to managing the canal’s challenges with a strategic and long-term approach. Despite difficulties, the country has demonstrated its ability to navigate complex situations and keep the Panama Canal functional and sustainable for decades to come./ CNN 

CREATED by:

“KORÇA BOOM”