US Says Its Navy Ships Will Have Free Passage Through The Panama Canal After Marco Rubio's Visit

US Navy ships will go through the Panama Canal for free, an American official said following Secretary of State Marco Rubio's visit to the Central American country during the weekend, Bloomberg reported. Panamanian authorities did not comment on the claim.

Panama's canal authority did say late Sunday that it will "optimize transit priority" of US Navy ships through the waterway. It is one of the concessions made by President Jose Raul Mulino following the visit from Rubio, who had warned of "consequences" if the country did not take actions regarding what the US has described as China's large influence over the canal.

While Trump made threats of taking control of the canal from the Panama Canal Authority, Mulino said Rubio made "no real threat of retaking the canal or the use of force."

The Panamanian government also said it will not renew a memorandum of understanding with China regarding its "Belt and Road Initiative," the country's project to finance infrastructure projects across several continents.

"The memorandum of understanding from 2017 regarding the Belt and Road Initiative won't be renewed by my government. We will study the possibility that it can be finished sooner but I think it will be done in a year or two because renewals take place every three years," said Mulino said.

The State Department had anticipated that Rubio's visit to the Central American country was focused on countering China's influence. Even though the Panama Canal is run by an autonomous entity overseen by the Panamanian government, the U.S. government claims China exerts influence through a Hong Kong-based company which operates ports on both ends of the waterway.

During his inauguration speech, Trump vowed to take back the Panama Canal. The president claimed that the U.S. has "been treated very badly by this foolish gift that should have never been made," referring to an agreement with the Latin American country that would eventually lead to Panama retaining full control of the canal.

The government of Panama filed a complaint to the United Nations following Trump's threat, referring to an article of the UN Charter precluding any member from "the threat or use of force" against the territorial integrity or political independence of another.