© Reuters. FILE PHOTO: Monrovia’s bulk carrier NSU Challenger crosses the Extended Canal through the Panama Canal’s Kokoli Locks, on the outskirts of Panama City, Panama April 19, 2023. REUTERS/Aris Martinez/File Photo
Written by Elida Moreno
PANAMA CITY (Reuters) – The Panama Canal will expand restrictions on the largest ships traversing the waterway, one of the world’s busiest trade lanes, a Panama Canal official said on Wednesday, citing shallow waters due to drought.
The measure follows a series of depth restrictions in the 50-mile (80 km) canal since the beginning of the year due to drought, which authorities were hoping to ease by the onset of the rainy season in this Central American country.
Ship traffic, including container ships and oil tankers, using the canal between the Atlantic and Pacific Oceans accounts for about 3.5% of world trade.
The new restrictions, which will take effect Sunday, limit new Panamax container ships to a depth of 43.5 feet (13.3 metres) meaning they must either carry less cargo or shed weight in order to float higher.
The previous maximum draft was 44.0 feet.
The port administration told customers in a warning seen by Reuters that Panamax ships, which use the old locks to the canal, will also face tougher rules on July 9.
An additional limit will apply to both categories on July 19.
Port Administrator Ricourt Vazquez said the July 19 action would depend on the amount of rain pouring into the lake system surrounding the canal, calling the current lack of precipitation “alarming” because the canal basin must also provide additional drinking water for residents.
El Niño, a periodic warming weather phenomenon, has caused severe droughts along the Pacific coast.
Despite the new rules limiting the weight of ships, Vasquez said the flow of ships through the canal has continued as expected so far.
He warned that this could see an impact depending on rainfall and higher route costs due to the new boundary.
The limits will not affect LNG carriers, as they typically report drafts of up to 37 feet, according to the canal authority.
(This story has been paraphrased to correct the spelling of New Panamax in paragraph 4 and the first name of Ricorte Vasquez in paragraph 8)