Panama Canal Zone

The Panama Canal Zone (Spanish: Zona del Canal de Panamá) was a 553-square-mile (1,430 km2) unorganized US territory located within the Republic of Panama, consisting of the Panama Canal and an area generally extending five miles (8.0 km) on each side of the centerline, but excluding Panama City and Colón, which otherwise would have been partly within the limits of the Canal Zone. Its border spanned two of Panama's provinces and was created on November 18, 1903, with the signing of the Hay–Bunau-Varilla Treaty. When reservoirs were created to assure a steady supply of water for the locks, those lakes were included within the Zone.

On February 26, 1904, the Isthmian Canal Convention was proclaimed. In it, the Republic of Panama granted to the United States in perpetuity the use, occupation, and control of a zone of land and land under water for the construction, maintenance, operation, sanitation, and protection of the canal.

From 1903 to 1979 the territory was controlled by the United States, which had built the canal and financed its construction. From 1979 to 1999 the canal itself was under joint U.S.–Panamanian control. In 1977 the Torrijos-Carter Treaties established the neutrality of the canal.

Except during times of crisis or political tension, Panamanians could freely enter the Zone. In fact, normally anyone could walk across a street in Panama City and enter the jurisdiction. However, the 1903 treaty restricted the rights of Panamanians to buy at retail stores in the Zone.

During the period of US control of the Canal Zone, the territory, apart from the canal itself, was used mainly for military purposes; however, approximately 3,000 American civilians (called "Zonians") made up the core of permanent residents. US military usage ended when the zone was returned to Panamanian control. It has now been integrated into the economic development of Panama, and is a tourist destination of sorts, especially for visiting cruise ships.

Notable people born in the Panama Canal Zone include Richard Prince, Kenneth Bancroft Clark, Rod Carew, geologist Thomas H. Jordan, Edward A. Murphy, Jr., and John McCain, the Republican 2008 presidential candidate and US Senator from Arizona.

The largest US Army unit based in the Canal Zone was the 193rd Infantry Brigade (Light), a mixed parachute-infantry/air-assault-capable light infantry unit. It was honored in 1994 as the first major unit to deactivate in accordance with the Panama Canal Treaty of 1977 implementation plan. The brigade was reactivated in 2007, tasked with conducting basic combat training for new US Army recruits.

Documentary filmmaker Frederick Wiseman made a film about the Panama Canal Zone, entitled Canal Zone, which was released and aired on PBS in 1977.