During Q2 2023, the Panama Canal Authority decided to reduce draft from 14.94 to 13.41. Despite several measures to conserve water taken over the last months, lack of precipitation in the area is affecting the water level of the Panama Canal. Consequently, the Panama Canal Authority has recently confirmed further restrictions regarding the number of vessels crossing the canal.
These restrictions, combined with the increase of the Canal Tariff implemented earlier this year, are having a direct impact on overall MSC operations costs.
As a result, pricing for cargo from South Africa, Mozambique & Namibia to South America West Coast transiting the Panama Canal will no longer be inclusive of Panama Canal Surcharge (PCS). Effective 1 January 2024, pricing will be subject to a PCS of USD 200 / TEU.
We thank you for your understanding and we will keep you updated with further developments.
Should you have any questions, please contact your local MSC representatives in our global network of more than 675 offices.