Supply Chain Research

Transits of the Panama Canal fell 2% in July vs. a year earlier. Yet, a reallocation of slots to favor Neopanamax vessels resulted in record transits by that class and a likely 10% increase in tonnage crossing the route. Competition for Asia-Americas traffic with the Suez Canal will likely remain fierce. Shipments from eight major Asian markets to the U.S. rose 5% with shipments to southeast U.S. ports having surged 14% vs. just 1% for Californian ports. That would suggest a heightened level of diversions. The widening of the U.S.-China trade dispute as well as continued geopolitical thr...