Panama Canal limits shipping as drought worsens

In Panama, the Panama Canal Authority announced a reduction in daily ship transits due to severe drought conditions. Starting September 4, the limit will decrease from 36 to 34 vessels, and further to 32 from September 15. This decision follows a 34% drop in rainfall in the canal's watershed, impacting water levels in the lakes that feed the canal. The drought has already reduced traffic through the canal by 36% in 2023, disrupting global supply chains and increasing shipping costs.