[RN7]

Originally Posted by Vespers War

The canal was run by the Panama Canal Commission, which, per Article III of the Panama Canal Treaty of 1977, consisted of 4 Panamanians nominated by the Panamanian government and approved by the American government and 5 Americans, with an American as Administrator until 1990, when a Panamanian took over (until the invasion and occupation that coincidentally happened the year the Administrator role was to be transferred). For the duration of the treaty (i.e. until 12/31/99), the United States bore primary responsibility for canal defense per Article IV of the treaty. Agencies and instrumentalities operating for the US to support the Canal were immune to Panamanian law. The only real limits were that military forces were not to exceed what had been in the Canal Zone unless necessary, and 20% of the US workers would be replaced within 5 years of the ratification of the Treaty. If it wasn't joint, then it was heavily slanted in favor of the United States.

So basically during the Twilight War and in real life the US military ran the Panama Canal.