Expansion of the Panama Canal

The expansion of the Panama Canal is closely coming to completion. With this new canal, east and west coast ports will be sending and receiving more ships. Trucking transportation and distribution should expect to be handling more freight as a result!

The Panama Canal connects the Atlantic Ocean to the Pacific Ocean via the Caribbean Sea. Using the Canal is more cost effective than shipping another 5,000 miles around the Southern tip of South America. The 51 mile Canal has a series of three locks that rise ships up a total of 85 feet to the main elevation of Lake Gatun and lowers them again. The expansion began on September 2007 at a total cost of $5.2 billion and is expected to be completed this December. Once completed, there will be a third lane added and the newly increased depth of the canal will allow passage of Post Panamax ships which can carry two times the cargo of the current Panamax.

Five U.S. Ports carry the majority of the US container volume: Los Angeles/Long Beach (LA/LB), New York/New Jersey (NY/NJ), Seattle/Tacoma, Savannah, and Oakland. They have the ability to already receive post Panamax ships, or are preparing to. Traffic to these ports is expected to double by 2030. Increased traffic at these Ports will affect transportation and distribution patterns and will lead to an increase in truck and intermodal use.