Politics Economy Country 2026-01-29T07:11:12+00:00

Lula Backs Panama Canal Neutrality and Sovereignty

Brazilian President Luiz Inácio Lula da Silva reaffirmed his support for Panama's sovereignty over the Panama Canal and its neutrality, stating it protects international trade based on multilateral rules. His statement came after a period of diplomatic tension with the US in 2025.


Lula Backs Panama Canal Neutrality and Sovereignty

The president of Brazil, Luiz Inácio Lula da Silva, affirmed that supporting the neutrality of the Panama Canal is equivalent to defending an international trade based on multilateral rules, during a press appearance after a bilateral meeting with his Panamanian counterpart, José Raúl Mulino. Lula reiterated his support for Panamanian sovereignty over the interoceanic canal, following the meeting in which both leaders signed commercial agreements and reviewed the state of bilateral relations between Panama and Brazil. "Defending the neutrality of the Canal is to defend a fair, balanced, and rules-based international trade," emphasized the Brazilian leader. Lula's statements come after a period of diplomatic tension between Panama and the United States in 2025, following threats from then-US President Donald Trump to attempt to regain control of the Panama Canal, citing alleged Chinese influence over the interoceanic route. These assertions were categorically rejected by the government of President José Raúl Mulino, which demanded that Washington not involve Panama in disputes of international geopolitics between powers. According to recent statements from officials of both countries, this episode of tension appears to have been overcome, with a mutual commitment to strengthen bilateral ties in political, economic, and commercial matters. The Brazilian leader also recalled that, last August, during an official visit by Mulino to Brazil, he had already expressed that his Government fully supports the sovereignty of Panama over the canal, administered by the Central American country for more than 25 years.