The Danes cleverly bit Trump off. Panama Canal moving distant from the US

The largest transport company in the planet – Danish Maersk – took over from the American railway company at the Panama Canal. Thanks to this, Maersk gained control over the alternate way of freight transport, while changing the nature of this key commercial gate, reducing its dependence on the US.


APM Terminals, owned by the Maersk Group, acquires the Panama Railway Company from its current owner, Canadian-American company CPPC. The amount of the transaction has not been disclosed, as Reuters, among others, informs.

The Danes outsmarted Trump on the Panama Canal

Keith Svendsen, CEO of Maerska APM Terminals, stated that the acquisition "is an attractive infrastructure investment in the region, consistent with our basic services related to container transport".

The transaction takes place at the minute of increasing geopolitical tensions around the Panama Canal. U.S. president Donald Trump's administration threatened to take control of this strategical shipping route, arguing this with the increasing influence of abroad states in the region, and in peculiar China.

In fresh years, China has importantly increased its engagement in Latin America by investing in port and logistics infrastructure close the canal, which raises Washington's concerns. The United States is afraid that the improvement of Chinese projects in the region may affect the free movement of goods and reduce American influence.

Let us besides remind that last period the Hong Kong company CK Hutchison agreed to sale key ports close the Panama Canal to a group led by BlackRock, which partially eased Trump's pressure.

However, the transaction, originally planned for signing this week, is to be delayed due to China's criticism.

The Panama Canal is an artificial water channel linking the Atlantic Ocean to the Pacific Ocean, located in Panama. It is 1 of the most crucial shipping routes in the world, importantly shortening the transport way between the east and west coast of America and between Europe and Asia.