Panama was originally part of Colombia. But by the turn of the century, the United States wanted the sole possession of the isthmian canal to move warships and commerce between the Atlantic and Pacific oceans.

In 1902, the U.S. Congress authorised the purchase of the French canal company. This depended on a treaty with Colombia, who refused because they feared a loss of sovereignty. With the support of the U.S., the Panamanians declared independence from Colombia in 1903. This allowed the U.S. to sign a treaty with Panama, granting the U.S. possession of the Panama Canal Zone.

In the mid 19th century, the rush of settlers to California and Oregon created an initial incentive to build an artificial waterway across the Isthmus of Panama, connecting the Atlantic and Pacific oceans.

Ferdinand de Lesseps, the French entrepreneur who completed the Su...