Major container lines are levying new fees tied to draft restrictions at the Panama Canal, reports New York's Journal of Commerce.

Mediterranean Shipping Co. will impose a US$100 per TEU surcharge on Asia-US East and Gulf Coast shipments from August 19. CMA CGM began charging US$320 per TEU on July 25, while Hapag-Lloyd plans a US$130 per TEU fee from August 15.

The Panama Canal Authority will restrict neo-Panamax vessels to a 49-foot depth from July 24, following an earlier cut to 49.5 feet. A further reduction to 48.5 feet is scheduled for August 15 due to potential El Nino conditions affecting Gatun Lake.

El Nino raises Pacific water temperatures and has previously caused droughts that lowered Gatun Lake levels. The ACP said the lake stood at 84.6 feet this week, slightly below the five-year July average, and could drop nearly another foot by September.

The US National Oceanic and Atmospheric Administration confirmed El Nino has developed and may intensify to a strong level through 2026, lasting into early spring 2027. A similar event in late 2023 forced the ACP to cut drafts to 44 feet and halve daily transits.

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