Panama: Canal Settlement

After 18 months of negotiations with Panama over the future of the canal, President Johnson last week had significant progress to report. The U.S., said the President, will abrogate the old 1903 treaty which gives it sovereign control "in perpetuity" over the canal and a five-mile strip along either side. The new treaty, explained the President, will "effectively recognize Panama's sovereignty over the area of the canal." In fact, when the treaty is signed, probably next year, it will wipe out the old concept of the Canal Zone as a U.S. bastion in Latin America.

In a new joint setup,...

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