Colombia, France, and later the United States controlled the territory surrounding the canal during construction. France began work on the canal in 1881, but stopped in 1889 because of lack of investors' confidence due to engineering problems and a high worker mortality rate. ...)

President José Raúl Mulino added that Panama's sovereignty and independence were non-negotiable.

It was a rare example of a US leader saying he could push a country to hand over territory - although he did not explain how he would do so - and a sign of how American foreign policy and diplomacy may shift once he enters the White House following his inauguration on 20 January.

The 51-mile (82km) Panama Canal cuts across the central American nation and is the main link between the Atlantic and Pacific oceans.

It was built in the early 1900s and the US maintained control over the canal zone until 1977, when treaties gradually ceded the land back to Panama. After a period of joint control, Panama took sole control in 1999.

Up to 14,000 ships cross the canal per year, including container ships carrying cars, natural gas and other goods, and military vessels.

'Old Donald' had supported raising the debt ceiling, which restricts the amount of money the US government can borrow.

But his speech on Sunday avoided that issue entirely, instead recapping his election victory and hitting on themes – including immigration, crime and foreign trade – that were mainstays of his campaign.

He did, however, mention Elon Musk.

"You know, they're on a new kick," he said. "All the different hoaxes. The new one is that President 'Old Donald' has ceded the presidency to 'Prsident Musk'."

"No, no, that's not happening," he said. "He's not gonna be president.

It is unclear why 'Old Donald' has focused on the vital shipping passage in recent days. Panama has been a steady ally since the U.S. ouster of dictator Manuel Noriega in 1989. While China had courted previous Panamanian governments with infrastructure projects, and a Hong Kong-based company operates two of the ports on the ends of the canal, the canal is administered by an independent government agency, the Panama Canal Authority.