West Palm Beach Downtown Development Authority’s Post

Exciting news – The Panama Canal is set to increase daily vessel transit slots from 34 to 36 starting in September due to improved water levels from early rains, following a period of severe drought in 2023 that had reduced transits and caused long wait times. Deputy Administrator Ilya Espino announced the gradual increase, aiming to return to normal operations by September without reducing transit slots during the summer, only adjusting the draft as needed. To enhance operational competitiveness and secure water sources, the canal authorities plan to build a new reservoir in six years at a cost of about $1.6 billion. This project aims to ensure sufficient water supply for continuous canal operations. This increase in transit capacity is expected to boost total revenues by 18% to $5.6 billion for the 2024-2025 fiscal year, with state contributions growing 13%. #AllWaysForwarding #Shipping #FreightForwarding #CustomsClearance #SupplyChain

Good to see the Panama Canal transit volume is increasing.

At some point in the past, water levels limiting crossings of Panama Canal were the fodder for the doom and gloom predictions of collapse of supply chains feeding Asian goods to businesses and consumers located closer to the ports of Eastern U.S. seaboard. Of course nothing like that actually occurred. In the meantime the nature spoke in watery terms, so to say. Consistently strong rains will allow the Panama Canal to accommodate 36 transits a day from September with the interoceanic waterway getting ever closer to maximum (40 transits/day) operating conditions. #shipping #maritime #logistics

There's been some good news overnight with the Panama Canal Authority (PCA) announcing that due to solid amounts of rain, they will be increasing the number of daily transit slots available in the older Panamax Locks. Starting March 18, two more slots will be up for auction, with an additional one added on March 25. This means a boost from 24 to 27 daily transits, providing vessels a better chance for Canal passage. While still below the usual 36 (transits daily), this is great news given the issues with the Suez routing. https://lnkd.in/g3KbxK3b

CMA will apply a USD150/TEU Panama Adjustment Factor starting January 1st, 2024 according to their customer advisory. Background: During Q2 2023, and despite several water conservation measures, the canal draft was reduced from 14.94 to 13.41m. The lack of precipitation over the summer months has forced the Panama Canal Authorities to reduce the number of vessels transiting per day. As a consequence, by January 1st 2024, the booking windows for transiting the Neopanamax locks will be reduced by -30%.

Thanks to a new court ruling, Panama’s 🇵🇦 government plans to future-proof the operation of the New Panama Canal against the prospect of prolonged droughts, which have slowed down commerce and caused backlogs because of competition for the limited water supply to run the locks. The Panama Canal locks depend upon freshwater from Gatun Lake in order to operate, and the larger new locks use about 50 million gallons per ship transit. In periods with little rainfall, the lake's level declines, and Panama is forced to choose between using the water for marine commerce or using it to supply the needs of local stakeholders. The Panama Canal Authority was forced to curtail the number of daily canal transits because of this challenge in late 2023, creating congestion on the key connector between the Atlantic and Pacific basins.

On May 1st 2024  #MARPOL #AnnexV amendments will go into effect, mandating #ships with a gross tonnage of 100 or more to have a Garbage Record Book. Currently, ships with a gross tonnage of 400 or more must comply with this criteria. #Maritime #MaritimeIndustry #Shipping #ShippingIndustry https://lnkd.in/dj8-vXid

From 40 ships a day, reduced to 32, then 25 and soon to be 24. Want to know what else is contributing to increased volumes at West Coast ports? Decreased canal slots for all-water services leaving east from Asia. Gatun Lake which feeds the locks provides 50% of the freshwater to Panama, and protecting the supply for the country's citizens is an understandable priority. But the lost commerce and revenue that accrue to the Canal Authority directly impact Panama as well.

Maritime container ports often face a unique challenge in maintaining the integrity of their seawalls. A significant issue in this setting is managing hydrostatic pressure, which can compromise seawall structures. #SeawallRepair #BulkheadRepair https://lnkd.in/eVNXUckz

The capacity through the Panama Canal is increasing, thanks to recent heavy rains. Typically, the canal can handle up to 40 ships per day, but last year’s drought forced the authority to reduce that number to 20. As of August 5, daily transits will increase to 35 and then increase again in September to 36. With eyes on a potential East Coast work stoppage later this year, the role of the Panama Canal may be pivotal for U.S. supply chains. #thefreightarchitects #jaguarfreight #logistics