US says government vessels can now transit Panama Canal without fees

"U.S. government vessels can now transit the Panama Canal without charge fees, saving the U.S. government millions of dollars a year," said the department on its X account.

It said the government of Panama has agreed to no longer charge fees for US government vessels to transit the Panama Canal.

The move comes days after Secretary of State Marco Rubio visited Panama as part of his first overseas visit to Central America and the Caribbean.

On Sunday, Rubio met with Panamanian President José Raúl Mulino and Foreign Minister Javier Martínez-Acha in Panama City to address critical regional and global challenges.

Rubio told Panama’s leaders to reduce alleged Chinese influence over the Panama Canal area or the Trump administration would take "measures necessary" to do so.