New rates will make Panama Canal more competitive

Volume-based toll reductions for container lines that regularly deploy large vessels through the expanded Panama Canal will make the canal route from Northeast Asia to the U.S. East Coast highly competitive with West Coast and Suez Canal routings, a Panama Canal Authority executive said.

After the canal expansion’s scheduled completion next April, carriers that deploy vessels with a cumulative capacity of more than 1.5 million 20-foot container units over 12 consecutive months will receive a 14% discount from the base rate, which translates to $6.5 million a year.



Source: Journal of Commerce