Panama: International Trade & Investment

Unprecedented drought conditions from a historic El Niño event are creating severe transit restrictions at the Panama Canal, forcing vessel owners and charterers to navigate complex legal questions about redelivery obligations and cost allocations. As water levels in Gatun Lake plummet and transit auction prices soar to record-breaking levels, the maritime industry faces critical decisions about legitimate final voyages, alternative routing, and contractual responsibilities under charter party terms.

One year after the Free Trade Agreement ("FTA") came into force between Mexico and Panama, the country has considerably increased exports to Mexico.