The Panama Canal Authority announced on August 24 that it will restrict the number of ships transiting the canal starting in early September to address low water levels caused by the El Niño weather phenomenon.
Starting September 4, the canal will allow 34 ships to pass daily, decreasing to 32 ships from September 15. The canal's normal capacity is about 40 ships per day. Since June, an average of 35 ships have traversed this vital waterway daily.
The decision follows earlier assurances in May when canal officials stated they had no plans to limit transits this year due to water-saving measures implemented last year.
The Panama Canal handles approximately 5% of global maritime trade. Reducing vessel traffic could slow shipping operations for industries reliant on this route and potentially increase transportation costs.
In 2023, a severe drought reduced canal transits by about 36%, disrupting global supply chains. That year's low water levels were also attributed to El Niño and human-induced climate change.
El Niño is a natural climate pattern occurring every 2 to 7 years, marked by warmer-than-usual sea surface temperatures in the eastern tropical Pacific. Scientists predict the upcoming El Niño in the coming months could be strong, potentially ranking among the strongest on record, increasing the risk of extreme weather events like heatwaves and droughts.
The Panama Canal operates through a lock system that lifts ships between the Pacific Ocean and the Caribbean Sea. Water for the canal comes from nearby lakes and reservoirs, primarily Lake Gatun. This lake also supplies drinking water to neighboring cities, including Panama City, adding pressure on the canal during drought periods.
