en.Wedoany.com Reported - CMA CGM has announced that it will apply a Panama Canal Adjustment Factor of $500 per TEU (twenty-foot equivalent unit) to all cargo shipped from Asia to the U.S. Gulf Coast and East Coast, effective September 10.
The surcharge comes as the Panama Canal Authority (PCA) has lowered the draft limits for Neopanamax locks since August 26, due to declining water levels in Gatun Lake, the freshwater body that supplies the locks, caused by the intensifying El Niño phenomenon.
Lars Jensen, president of consulting firm Vespucci Maritime, said the announcement could signal more charges to come, adding that all carriers and shippers should prepare accordingly.
El Niño is a periodic climate phenomenon characterized by higher-than-normal sea surface temperatures in the eastern and central tropical Pacific Ocean. The phenomenon tends to lead to enhanced vertical wind shear, which is unfavorable for the formation and intensification of Atlantic hurricanes, making it significant for hurricane season forecasting.
El Niño can lead to reduced rainfall around Panama, which has in the past caused water levels in Gatun Lake to drop.
The latest forecast from the U.S. National Oceanic and Atmospheric Administration (NOAA) shows a 98% probability of El Niño forming around the end of this year. NOAA stated that El Niño will continue to strengthen through the end of the year, with a 98% chance of persisting into early spring 2027. El Niño conditions are already present, with sea surface temperatures in the central and eastern Pacific near the equator above average.
The Panama Canal Authority has been preparing for various El Niño-related scenarios in an effort to mitigate its impacts. The PCA is also studying measures that can be taken in 2027, as history shows that the most significant effects of moderate or strong El Niño events often become more clearly apparent in the following year, as was the case during the periods of 1982-1983, 1997-1998, 2015-2016, and 2023-2024.
The United States is the largest user of the Panama Canal. In 2024, 52% of vessels transiting the canal had their origin or destination ports in the U.S., and more than 76% of transiting cargo originated from or was destined for the U.S. The Panama Canal remains a key route for trade between Asia and the U.S. Gulf Coast and East Coast.
