The government agency that administers this Panama Canal Transit restrictions were imposed in May due to the Canal’s driest spell in more than a century. Since then, some large ships have had to reduce their container loads by about a quarter, heralding new delays and higher costs for global supply chains, according to The Wall Street Journal.
Restrictions will be extended in the coming weeks, with the allowable draft for ships dropping from the maximum limit of 50ft to 43ft.
Restrictions are not uncommon there, but this year’s dry season is proving particularly harsh and water levels at the Canal’s Gatun Lake could hit record lows next month. To maintain the canal’s role as a major trade route, authorities have for years begun planning for more extreme weather events.
The outlook for 2023 sees shipowners and charterers adapting their operations to accommodate lighter cargo requirements and weighing the costs of forwarding shipments elsewhere.
