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From sea to rail: Panama Canal drought to reshape shipping routes?

13 Jan '24
2 min read
Pic: Adobe Stock
Pic: Adobe Stock

Insights

  • Drought-induced restrictions at Panama Canal are impacting global shipping, thus affecting textile and garment trade.
  • With Gatun Lake's water levels low, the Panama Canal Authority has limited vessel size and weight.
  • Shipping companies, including Maersk, are resorting to rail transport as an alternative.
  • This disruption follows the recent Red Sea crisis.

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