Freight News, Sea

Wider Panama ‘an upgrade, not a transformation’

[ June 22, 2016   //   ]

The Panama Canal expansion is more of an iPhone 7 than the original iPhone, says shipping intelligence platform Panjiva. While the opening of the wider waterway has created a buzz in the industry, the latest phase is more of “a slightly cool upgrade, but not nearly as transformative as the original,” says chief executive Josh Green.

He said: “Aside from smaller vessels becoming less competitive and certain ports on the US east coast seeing increased volume, the dynamics of global trade will stay more or less the same. This expansion is simply a means to handle the increase of shipments going through Panama vessels, which rose from 32.7% in 2001 to 56% in 2015.”

However, in the UK the port of Liverpool sees the widened canal as unlocking many potential benefits in the transatlantic trade, which it sees as a key growth area for its Liverpool2 container terminal.

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