Elon Musk weighed in humorously on a developing geopolitical discussion on Monday, reacting to President-elect Donald Trump’s comments about the Panama Canal. Elon Musk posted a laughing response to an exchange between Panama’s President José Raúl Mulino and Trump, stating, “2025 is gonna be so lit.”
The discussion began when Trump suggested that his administration could attempt to regain control of the Panama Canal, claiming the United States had “foolishly given it away” and was now “being ripped off” due to high fees for canal use.
Panama’s President Defends Sovereignty
In response, President José Raúl Mulino firmly addressed Trump’s statements without directly naming him. Mulino released a video asserting Panama’s control over the waterway, saying, “Every square meter of the canal belongs to Panama and will continue to belong to Panama.”
He further clarified the rationale behind the canal’s toll system, stating that fees are determined by experts who consider operational costs and supply-demand dynamics. “The tariffs are not set on a whim,” Mulino explained. He highlighted Panama’s independent efforts to expand the canal, emphasizing that fee increases help finance ongoing improvements.
Trump Doubles Down on Canal Criticism
Trump, undeterred, took to his social media platform to respond. He posted, “We’ll see about that!” alongside an image of the U.S. flag planted in the canal zone, accompanied by the phrase, “Welcome to the United States Canal!”
Previously, Trump had criticized Panama Canal tolls, describing them as excessive. The fees range from three to six figures depending on a vessel’s size and cargo, with the largest ships sometimes paying as much as $500,000 to transit.
Historical Context of the Panama Canal
The Panama Canal, a critical waterway facilitating maritime traffic between the Atlantic and Pacific Oceans, was constructed by the United States in the early 1900s. Under the 1977 Torrijos-Carter Treaties, the canal was officially transferred to Panama on December 31, 1999.
Since then, Panama has managed and modernized the canal, including expanding its capacity to accommodate larger ships. However, the canal faced challenges in 2023 due to a Central American drought that significantly reduced the number of daily crossings. This disruption led to increased tolls, which remain high despite weather conditions normalizing later in the year.
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