Rising fuel and freight costs tied to the conflict in the Middle East are sending more global shipping traffic through the Panama Canal. Canal officials say higher oil prices are making the shorter route between the Atlantic and Pacific Oceans more attractive for shipping companies looking to cut transit times and reduce fuel expenses. Panama Canal Deputy Administrator Ilya Espino de Marotta says the canal is currently handling about 40 to 41 ships per day, up from the typical 36 daily transits. Officials say improved water levels have also helped increase capacity after severe drought conditions during the El Niño years of 2023 and 2024 forced significant restrictions on canal traffic.
