The Republic of Panama is expected to become the transportation and logistics hub of the Americas. It is situated at the narrowest point of the Americas, a prime location connecting the major world markets. The Panama Canal connects 144 routes and the country’s modern port system.
The Benefits of the Panama Canal Expansion on Shipping and Port Networks
- Allows for better access to the routes from Asia to the East Coast of the U.S.
- There will be a reduction in shipping costs for shipments to ports on the East Coast
- Increased cargo at terminals and provides more trade opportunities between the West Coast of the US and the East Coast of South America particularly Brazil, which is a booming market
- Facilitate the flow of grains (a very popular commodity) originating in the Midwest of the US. In addition, there may be opportunities for increased transportation of coal and iron ore originating from Colombia and Venezuela, with destinations in Asia.
- It will accommodate larger ship sizes. It is expected the ships will increase to 8,000 TEU from the average 4,500 TEU
- It will provide more jobs related to the handling and distribution of the cargo as well as other business related transactions.
DRT looks forward to taking full advantage of the Panama Canal so that we can continue to provide you with competitive rates and superior service.