Panama Canal Railway
The Panama Railway also operated a significant shipping line, connecting its service with New York and San Francisco. It ran a Central American line of steamships linking Nicaragua, Costa Rica, San Salvador, and Guatemala to Panama City. The shipping service was greatly expanded when canal construction began. Ships included the SS "Salvador", SS "Guatemala", SS "Cristobel", and , which became the first of the ships to cross the completed canal in 1914.
In 1904 the United States took over the license to build and operate the canal. The choice to use locks and an artificial lake (Gatun) meant that the old railway route from 1855 had to be changed because it followed the Chagres River valley, which would be flooded by the lake. Also, the railway would be extended and altered continuously for the building process. The stock of the Panama Railway Company, vital in canal construction, was entirely controlled by the United States Secretary of War.
Maritime history
Though controversial within the United States, a process of handing the Panama canal lead to Panamanian control of the Panama Canal Zone by the Panama Canal Authority (ACP). It was effective at noon on December 31, 1999. Before this handover, the government of Panama held an international bid to negotiate a 25-year contract for operation of the Canal's container shipping ports (chiefly two facilities at the Atlantic and Pacific outlets), which was won by the Chinese firm Hutchison Whampoa, a Hong Kong-based shipping concern whose owner Li Ka Shing is the wealthiest man in Asia. One of the conditions on the handover to the Panama Canal Authority by the United States was the permanent neutrality of the Canal and the explicit statements that allowed the United States to come back at any time.