Panama Canal transit fees soar to record highs as drought and conflict squeeze shipping

Panama Canal transit fees have hit record highs as El Niño-induced low water levels and Iran-related disruption squeeze traffic, with August auctions averaging about $1.1 million per slot (more than 16 times last year) and Neopanamax/Panamax slots fetching up to about $3.78 million and $2.63 million; draft restrictions reduce usable depth and Gatun Lake water is below historical averages, contributing to queues (113 vessels waiting on Aug. 3, up from 40 in January). Canal officials say these are market fluctuations, not tariffs, but further restrictions could come if conditions worsen.