Panama Canal toll cuts will take time to lure backhauls

The reduction in Panama’s Canal tolls will attract larger ships and most revenue, but it is unlikely to lure back Asia- East Coast North America backhaul services transiting the Panama Canal, according to Drewry Shipping Consultants.

The $1o to $15 per TEU ystoff cut on southbound sailings that comes into effect on October 1, apples to 6,000 TEU and above, which must have carried at least 70 percent of their capacity on the northbound leg and not taker longer than 28 days between the two journeys through the waterway.

Source: Journal of Commerce