Panama denied a claim made by the State Department on Wednesday that the Central American nation had agreed to no longer charge fees for US government ships to transit the country’s famous canal.

The State Department claimed it had struck a deal that would save the U.S. government “millions of dollars a year.”

The United States Department of State on Wednesday said American government vessels can now transit the Panama Canal without charge fees. The Department said this in a tweet via its X account. “The government of Panama has agreed to no longer charge fees for U.