The document, signed by top security officials from both countries, allows US military personnel to deploy to Panama-controlled facilities for training, exercises and a range of other activities.

The agreement stops short of allowing the United States to build its own bases on the isthmus, a move that would be deeply unpopular with Panamanians and legally fraught.

But it gives the United States broad sway to deploy an unspecified number of personnel to former bases, some of which Washington built when it occupied the Canal Zone decades ago.

Trump, since returning to power in January, has repeatedly claimed that China has too much influence over the canal, which handles about 40 percent of US container traffic and five percent of world trade.

His administration has vowed to "take back" control of the strategic waterway that the United States funded, built and controlled until 1999.