or Panama Canal Zone
Strip of territory, a historic administrative entity in Panama over which the U.S. formerly exercised jurisdictional rights (1903–79).
The zone came into being in 1904 when Panama granted the U.S., in return for annual payments, sole right to operate and control the Panama Canal , including a strip of land 10 mi (16 km) wide along the canal extending from the Atlantic to the Pacific Ocean and bisecting the Isthmus of Panama. The zone was abolished by treaty in 1979, and civil control of the territory was returned to Panama. By the same treaty a commission under joint U.S.-Panamanian ownership was established to operate the canal until the year 2000, when Panama assumed full control.