Panama Canal adds capacity as the 2027 dry season approaches

The Panama Canal is adding capacity after a difficult summer. Better rainfall in September and water-saving measures at the locks have allowed the Panama Canal Authority to ease some of the restrictions it put in place in August, although the Canal still reports a water deficit and the 2027 dry season is only a few months away.

On September 28, the Authority raised the maximum draft for the larger Neopanamax locks from 48 to 49 feet. Draft is how deep a loaded vessel sits in the water, so a higher limit lets ships carry more cargo through the Canal. As of October 15, the Neopanamax locks also have ten booking slots per day, up from nine. Together with 23 slots on the older Panamax locks, that brings daily booking capacity to 33.

Conditions have improved since late summer, when vessels without a reservation were waiting two weeks or more and one transit slot sold at auction for a record $5.3 million. Even so, the Authority's latest advisory warns that ships arriving without a reservation can still face indefinite delays, and several carriers added Panama surcharges in September to their Asia to U.S. East Coast and Gulf services.

Planning for the 2027 dry season

The Authority is also preparing for January through April, when water levels are typically at their lowest. Its Long-Term Slot Allocation program (LoTSA) lets carriers reserve Canal capacity well in advance, and for the 2027 season it will offer 558 slots between January 3 and April 3. This is the first year the program includes the Panamax locks, through a sealed-bid pilot with bids due November 24.

Weather is the main uncertainty. NOAA currently has an El Niño advisory in effect, and El Niño years tend to bring less rain to Panama during the dry season. If rainfall holds up, today's capacity could carry through the spring. If it doesn't, the Canal could again cut draft limits and daily slots, as it did in August. This is the best information available as of publication.

Importers and exporters don't book Canal transits themselves; the ocean carriers do. Still, carriers that secure advance slots for 2027 will be in a better position to keep their schedules if conditions tighten, and that affects every shipper on those services.

What shippers should keep in mind

• For time-sensitive cargo, ask your forwarder which carriers on your lanes have secured, or are bidding for, 2027 Canal capacity.
• Keep building realistic transit times into quotes and production schedules. Faster transits this fall may not hold through March.
• Review freight invoices for Canal-related surcharges, which carriers can add or remove on short notice.
• For cargo that can't afford delays, compare the cost of routing through a West Coast port with rail or truck inland.

Aldenbridge Freight Forwarding is following the Canal Authority's advisories and carrier announcements as they come out. If you'd like to compare an all-water routing through the Canal with a West Coast and intermodal option before the dry season begins, reach out to the team at freight@aldenbridge.com.

Sources: Panama Canal Advisory A-36-2026 · Panama Canal Advisory A-37-2026 · Panama Canal Authority announcement, September 28