Panama Canal to cut number of ships passing through due to El Niño
The Panama Canal Authority is reducing the number of daily ship transits due to low water levels caused by a strong El Niño weather pattern. This measure aims to ensure long-term operational sustainability and water availability.
Why it matters
Disruptions to the Panama Canal impact global trade routes and supply chains, potentially increasing shipping costs.
Image source, Anadolu via Getty Images By Peter Hoskins Business reporter Published 14 minutes ago Panama Canal's operator is to cut the number of vessels passing through the key waterway due to low rainfall caused by El Niño.
The Panama Canal Authority (ACP) told shipping firms on Thursday that 32 vessels a day will be able to pass through it from 15 September, compared to 36 currently.
El Niño, a pattern of periodical sea surface warming, effects weather systems globally. This year is expected to be particularly strong, with its effects made more intense by climate change.
The shipping industry is already dealing with severe disruptions due to the Iran war causing a large reduction in the number of vessels passing through the crucial Strait of Hormuz.
The ACP said the measures were being put in place to preserve service reliability and safeguard water resources for human consumption.
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