- Businesses are reportedly paying up to $4 million to navigate the Panama Canal, a significant increase confirmed by the Panama Canal Authority.
- This surge in costs is driven by the effective closure of the Strait of Hormuz, a crucial shipping artery, due to escalating US-Iran tensions.
- Companies are rerouting ships via the Panama Canal to ensure safer passage and adjust supply chains, avoiding the volatile Middle Eastern waterway.
- While typical crossings cost between £300,000 and £400,000, additional fees for expedited passage have soared, with one fuel vessel reportedly paying an extra $4 million.
- Despite benefiting from increased revenue, Panama's government has also been impacted by the geopolitical conflict, accusing Iran of seizing a Panama-flagged vessel in the Strait of Hormuz.
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