|
|
| *Travel Tips>>>Panama Travel Tips |
The expansion of the Panama Canal,is it a good or bad thing? |
Travel Info The expansion of the Panama Canal,is it a good or bad thing? Travel Tips The Panama Canal is run by the Government of the Republic of Panama through the Panama Canal Authority, an autonomous entity with its own law within the Panamanian Constitution. The Canal has given the Republic of Panama in 5 years of Panamanian administration over $1.8 billion, more than what Panama received in 86 years of American administration. The expansion of the Panama Canal is a project to increase the capacity of the Canal through a third set of locks that would allow the transit of Post-Panamax vessels. This would allow Panama to compete in the container route Asia-East Coast United States currently dominated by the U.S. intermodal system that use the ports of Long Beach and Los Angeles as ports of entry with final destination to the U.S. East Coast. Los Angeles and Long Beach can handle post-panamax container vessels, which save shipping costs though economies of scale. An expanded Canal would also allow other commodities to transit using larger vessels, such as oil from Venezuela to China, coal and iron ore from Venezuela and Brazil to China and other East Asian countries, etc. Just for your information, Hutchinson Whampoa runs the ports of Balboa and Cristobal under a contract-law with the Government of Panama as a private company, just the same way that international port operators run the American port terminals. The expansion of the Canal, in my opinion is a VERY good thing because will allow Panama to remain a relevant trade route and give more $$$income to Panamanians. It will also increase the maritime economic activities related to the Canal Others The Panama Canal is currently operated by a Chinese company called Hutchinson Wampoa under a contract from the Panamanian government. As the Chinese economy rapidly expands, they are doing more and more commerce with Latin America. The Chinese want a larger canal so they can send bigger ships to Venezuela (for the oil and gas) as well as Argentina and Brazil. I suppose it is a good thing, but I don't really trust the Chinese. |
| Tags |
| Chile Costa Rica Ecuador El Salvador Guatemala Panama Peru Uruguay Venezuela General - Latin America Ancona |
Travel Info Categories--Copyright/IP Policy--Contact Webmaster |