US oil supplies through the Panama Canal rose to a near 4-year high
Kyiv • UNN
Shipments exceeded 200,000 barrels per day due to problems in the Strait of Hormuz. Companies pay $3 million for vessels to pass without queuing.
The volume of American oil transportation through the Panama Canal has increased to a nearly four-year high amid supply disruptions from the Middle East. This was reported by Bloomberg, writes UNN.
Details
According to analytics firm Kpler, in the first half of April, US oil exports through the canal exceeded 200,000 barrels per day, close to the highest level since July 2022.
The increase in flows is due to shipping disruptions through the Strait of Hormuz, which are forcing Asian refineries to buy more American oil.
At the same time, uncertainty remains regarding the resumption of normal transit in the Persian Gulf, despite negotiations between the US and Iran.
Congestion and costs
The increase in demand has led to congestion in the Panama Canal. According to sources, some companies are forced to pay more than $3 million to expedite the passage of ships without waiting in line.
For some cargoes, including liquefied petroleum gas, these costs are even higher.
The Panama Canal remains the shortest route between the US Gulf Coast and Asia, although it cannot accommodate the largest tankers. Transit through the canal takes about a month, while bypassing the Cape of Good Hope can double that time.
The main destinations for supplies remain Japan and South Korea, where most of the American oil passing through the canal is directed.