Panamanian President Jose Raul Mulino denied claims from the US state department that a deal had been reached allowing US warships to transit the Panama Canal for free. Mulino clarified that he had informed US secretary of defense Pete Hegseth that neither he nor Panama could waive transit fees. The Panama Canal authority also stated there were no adjustments to fees. The disagreement follows recent talks with US officials, including concerns over China's influence in the canal region.