Panama Canal restricts traffic amid Hormuz crisis: Why this matters

While shipping remains severely disrupted in the Strait of Hormuz, shippers are facing new constraints at another strategic maritime chokepoint on the other side of the world: the Panama Canal.From this week, the number of vessels permitted to pass through the canal per day will begin to fall because of low water levels, canal authorities say.Recommended Stories list of 3 itemslist 1 of 3Asia looks to store oil, gas closer to home after Strait of Hormuz crisislist 2 of 3Trump suggests renaming Strait of Hormuz as Trump Strait amid Iran warlist 3 of 3The US is gobbling up Venezuelan oil, but will it lower fuel prices?end of listHere’s what we know about the latest measures at the canal, which handles some 5 percent of global maritime trade, according to the Panama Canal authority.What restrictions are being introduced in the Panama Canal?From Thursday, only 34 vessels will be permitted to sail daily through the canal, which has traditionally been able to accommodate up to 40 per day.On September 15, the cap will drop further to 32.The Panama Canal Authority, the body which oversees the waterway, says the new limits are necessary as the country braces for lower water levels due to th...