China will as always respect Panama's sovereignty over the Canal and recognize the Canal as a permanently neutral international waterway, Chinese Foreign Ministry spokesperson Mao Ning said Friday, in response to a question about US president-elect Donald Trump's claim that there are Chinese soldiers stationed at the Panama Canal.

As for the Panama Canal, Mulino denied U.S. vessels are being overcharged to use the waterway and emphasized that China plays no role in the canal. A Hong Kong-based firm manages two ports at the Panama Canal’s entrances, but Panama owns and operates the entire canal.

Trump’s demands to have the Panama Canal returned to the U.S. were made due to Panama charging “exorbitant” passage fees on the U.S.

Panamanian President José Raúl Mulino denied Donald Trump’s claims of Chinese interference in the Panama Canal, stating there was ‘absolutely no Chinese involvement’. Trump had alleged that China was illegally controlling the canal,