In response to the impact of the global economy due to the COVID-19 pandemic, the Panama Canal will extend support measures to its customers until December 31, 2020, contributing to the recovery of the industry.
This extension comes after an ongoing dialogue between the Panama Canal and maritime industry leaders on how best to provide assistance as the world seeks to recover from the economic and social impact caused by COVID-19.
"Despite the challenges faced at the beginning of the year, I am confident that we will see a recovery during fiscal year 2021, both for the Canal and for our clients," said the administrator of the Panama Canal, Ricaurte Vásquez Morales. The fiscal year of the interoceanic highway will end on September 30, 2020.
Implemented last May 4 and originally effective until September 1, the measures include the suspension of advance payments of the rates for traffic reservation, as well as other changes in the reservation system of the interoceanic highway. Together, these measures allow clients to maintain greater liquidity, as well as greater flexibility to exchange or substitute reserve spaces among their own fleets. Panama Ship Registry
"I am encouraged by the growth we are seeing in the container ship sector, although we are closely monitoring changes in trade flows globally," said the deputy administrator of the Panama Canal, Ilya Espino de Marotta. "The extension of these measures reaffirms our commitment above all to our customers."
Transits in the Panama Canal increased from 845 in June to 933 in July, and August is showing a similar trend. This increase was largely driven by an increase in container ship transits along the East Coast route of the United States to Asia. Panama Private Foundations
The extension of the support measures comes immediately after the commitment of the Panama Canal to make investments to ensure a sustainable and long-term solution in terms of water levels, increasing the operational reliability of the interoceanic route in the coming years.
