SeaIntel: Shipowners in line for major profits on Panama Canal expansion

The major container carriers will derive marked savings on fuel. The expansion of the Panama Canal could also lead to new integration of services between shipowners, estimates SeaIntel in an analysis.

The major container carriers are in line for significant profits in the form of marked savings on fuel and possible integration of services to reduce unit costs once the expansion of the Panama Canal has been completed in 2014-2015. Since the decision was made back in 2006, the expansion of the Canal has resulted in major building projects at ports on the American East Coast and in the Caribbean in order to make room for the much larger ships which will sail through the Panama Canal.

This is the conclusion drawn by the analyst firm SeaIntel in a mapping of the expansion and its consequences including a whole new traffic pattern. A mapping which seems in part to support comments made by the Canal administration’s Jorge L. Quijano (photo) in an interview with ShippingWatch on Wednesday. Quijano claims that Maersk Line, the Panama Canal’s most frequent user so far, will return to the Canal once the expansion is completed and that the company’s “relocation” is only temporary. Quijano also claims that new prices will be negotiated for passages.

Already a subscriber? Log in.

Read the whole article

Get access for 14 days for free.
No credit card is needed, and you will not be automatically signed up for a paid subscription after the free trial.

  • Access all locked articles
  • Receive our daily newsletters
  • Access our app
An error has occured. Please try again later.

Get full access for you and your coworkers.

Start a free company trial today

More from ShippingWatch

HHLA advances despite chaotic market

Port company Hamburger Hafen und Logistik has seen much progress this past half year despite ”major operational challenges” on a volatile market.

Borr Drilling seeks capital in the US

Tor Olav Trøim’s Borr Drilling searches for capital in the US and plans to issue shares on the New York Stock Exchange, a company statement reveals.

Related articles

Latest news

See all jobs