Panama Canal Faces Historic Water Shortage Crisis, Forcing Ship Limits and Global Trade Disruptions

• The Panama Canal is suffering a historic water crisis due to lack of rain, forcing it to limit ships and causing major global trade disruptions.

• The canal may lose $500M-$700M in 2024, and projections suggest water levels will keep dropping.

• Shipping costs have increased, consumer prices are up, and companies are looking at alternatives like US railroads.

• Climate change is opening new routes, like an Arctic passage, but also causing extreme droughts and rainfall.

• Attacks on ships in the Suez Canal region are further disrupting trade and causing delays and additional costs.