China's influence on the Panama Canal is a major risk to U.S. national security, Sen. Ted Cruz told lawmakers during a Senate hearing on Capitol Hill.

Trump has called for the U.S. to take back control of the Panama Canal, warning of heavy Chinese activity in the region.

Senators on both sides of the aisle raised concerns over how Chinese aggression and influence on the Panama Canal could have major implications on U.S. trade and national security during a hearing in a key Senate committee on Tuesday morning.

U.S. Secretary of State Marco Rubio's trip to Central America, including Panama, is partially about countering China, a State Department spokesperson told Fox Business, as new President Donald Trump is pushing to "take back" the Panama Canal.

Nonetheless, Trump’s bet is to not have to pursue military conquest in the Athenian way. He would rather have a complacent Panama, accepting all U.S. demands. As shown by the recent Colombia-U.S. clash over deportations, Trump’s approach seems to be “cooperate or else.”

China's expanding footprint in Latin America is expected to be high on the agenda when US Secretary of State Marco Rubio visits Panama next week on his first overseas trip since taking office, according to observers.

Sen. Ted Cruz, R-Texas, warns lawmakers about China during a Senate Committee on Commerce, Science & Transportation hearing.

China has fired back at President Donald Trump, dismissing his claim that Beijing has seized control of the Panama Canal as baseless and provocative. Newsweek reached out by email to a Trump representative and to Hutchison Ports, a Hong Kong–based port operator that controls ports near the canal, for comment.

President Donald Trump's suggestion of the U.S. taking control of the Panama Canal has a legal basis partly due to potential treaty violations involving Chinese activities in Panama.

Lawmakers on Capitol Hill discussed whether Chinese influence was violating Panama Canal neutrality at the expense of U.S. international trade.

On Christmas Day, Trump posted on social media that the "wonderful soldiers of China" were "lovingly, but illegally, operating the Panama Canal" - a claim which was swiftly denied by officials in Panama City and Beijing.