Just the hat for the canal? (6)

I believe the answer is:

panama

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'the canal?' is the definition.
(I've seen this before)

I don't understand how the rest of the clue works.

(Other definitions for panama that I've seen before include "Criticise" , "Great canal connecting Atlantic and Pacific" , "city" , "Wide-brimmed hat" , "Central American state" .)

I've seen this clue in the Evening Standard.

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