Will The Panama Canal Be Affected By The US-China Trade War?
Date
12/1/2024 11:13:43 PM
(MENAFN- Newsroom Panama)
The Panama Canal is confident that it will maintain a“solid” performance despite a possible new trade war between the United States and China, its main customers, resulting from the imposition of tariffs announced by US President-elect Donald Trump.
“In the past, despite trade differences between the United States and China, the performance of the Panama Canal has remained solid,” the administration of the interoceanic waterway said on Thursday.
However, he added,“the Panama Canal constantly monitors global maritime traffic and global trade policies that could impact its operation.”
Trump announced a 25% surcharge on all goods imported from Mexico and Canada, as well as an additional 10% tariff on Chinese products, until these countries – which are his main trading partners – stop the arrival of illegal immigration and drugs.
The Panama Canal is a major waterway through which about 3% of world trade passes. Its main customer is the United States, which accounts for two-thirds of the tonnage that passes through it, followed far behind by China and Japan.
In fiscal year 2024, the Panamanian waterway, which links the Atlantic and Pacific, transported 423 million tons and expects to increase that figure to 520 million tons in 2025.
International maritime trade will reach 12.292 billion tons in 2023, according to data from the United Nations Conference on Trade and Development (UNCTAD).
The main routes served by the Panama Canal are the East Coast of the United States-Asia; the East Coast of the United States-West Coast of South America, and Europe-West Coast of South America. All types of cargo pass through it, from container ships, the star segment of the business, to refrigerated vessels with fruit, as well as bulk carriers, gas tankers, oil tankers and vehicle carriers.
The Panama Canal remains a common strategic point for 180 maritime trade routes, connecting more than 1,900 ports in nearly 170 countries on all continents.
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