FRENCH shipping giant CMA CGM has notified its customers about the ongoing challenges faced by the Panama Canal due to a severe drought.
In response to these challenges, CMA CGM will implement a US$150/TEU Panama Adjustment Factor January 1.
Despite implementing various water conservation measures in Q2 2023, the canal draft was reduced from 14.94 to 13.41 metres.
Insufficient precipitation during the summer months has compelled the Panama Canal Authorities to limit the number of vessels transiting per day.
As a result, effective January 1, the booking windows for transiting the neopanamax locks will be reduced 30 per cent.
These restrictions, coupled with an earlier increase in the Canal Tariff, are significantly impacting CMA CGM's operations.
Source: shippingazette