The Panama Canal Authority will cut daily transits to 32 vessels from September 15, down from the current 36, with initial reductions starting September 3. The waterway, which handles over 3 % of global maritime trade, depends on fresh water for its locks and has received below‑average rainfall amid an intensifying El Niño.

The authority already imposed cargo‑weight limits last month and introduced water‑saving measures after the historic 2023‑2024 drought. Prices for a transit surged to a record $1.1mn in August, more than 16 times last year’s average, driven also by the closure of the Strait of Hormuz after the US‑Israel bombardment of Iran began in February.

New auction categories will allocate slots by cargo type and prioritize the largest Neopanamax ships. The canal, which generated nearly $3bn for Panama in fiscal 2025, urged shippers to book early. Maersk and MSC took over two key ports after Panama’s court annulled CK Hutchison’s contract; the Hong Kong‑based firm is seeking $1.5bn in damages.

“Should additional operational adjustments become necessary, the canal will provide customers with timely updates,” the authority said, noting weather is changing faster than anticipated.