Latest news with #RicaurteVasquez
France 24
2 days ago
- Business
- France 24
Trump's tariffs have not reduced Panama Canal traffic -- yet
Allies and adversaries alike are facing higher levies on exports to the United States as Trump's long-threatened "reciprocal" tariffs go into effect over trade practices he considers unfair. Analysts have predicted that the aggressive policy will slow down traffic through the Panama Canal, through which five percent of all global shipping passes. "The results of this fiscal year will be in line with what we projected" in terms of revenue and cargo, canal administrator Ricaurte Vasquez told AFP. The Panama Canal Authority had projected record revenues of $5.6 billion in the fiscal year ending September 30, an increase of 12.7 percent over last year's figure. It forecast 13,900 ships would pass through the canal during the same period, carrying 520 million tons of cargo. But Vasquez called it "probable" that as time goes on, the volume of cargo could decrease as a result of the tariffs. The 80-kilometer (50-mile) canal linking the Atlantic and Pacific Oceans serves more than 1,900 ports in 170 countries, notably providing China, Japan and South Korea greater access to the US East Coast. Earlier this week, China and the United States delayed higher tariffs on each other's exports for 90 days.
Reuters
2 days ago
- Business
- Reuters
Panama Canal to launch tender for construction, operation of two ports, source says
PANAMA CITY, Aug 14 (Reuters) - The Panama Canal will soon begin consultations with companies about launching a competitive tender in the first quarter of next year offering two new ports for construction and operation within its zone, a source involved in the preparations said on Thursday. The ports are part of a broad expansion plan being organized by the waterway's administration. It aims to increase services related to cargo handling, including trans shipment, storage and gas transportation, and to secure fresh water for operations. "There is a large demand for facilities and terminals," said Ricaurte Vasquez, head of the waterway, at a conference on Thursday, without elaborating on details. The Panama Canal Authority did not immediately reply to a request for comment. Its top executives have previously said the waterway plans to invest some $8.5 billion in the next five years to update and expand its infrastructure. A key project included in the planning, the construction of a large dam to contain the Indio river and create a new water reservoir, will be discussed at Panama's Supreme Court after affected communities filed a lawsuit against it last month. Another tender to offer a project to build a liquefied petroleum gas pipeline within the canal zone also is in preparation and could be launched next year, the source added. U.S. President Donald Trump this year threatened to take over the Panama Canal amid criticism of what his government has called the increasing influence of China over the Central American country. Meanwhile, Panama's President Jose Mulino has moved to end a 25-year concession to Hong Kong-based CK Hutchison ( opens new tab for the operation of two key separate ports outside of the canal zone amid criticism of the contract's terms. CK Hutchison said on Thursday that a $22.8 billion deal with a group led by BlackRock (BLK.N), opens new tab and shipping firm MSC to sell most of its global port business, including the two ports in Panama, had a "reasonable chance" of going through.
Japan Times
4 days ago
- Business
- Japan Times
Panama Canal to enter ports business as Trump-China feud simmers
The Panama Canal is planning to enter the ports business with a proposal for two terminals, a move that comes amid a high-profile clash between the U.S. and China over the waterway. The Panama Canal Authority expects to open a tender to operate a port on the Atlantic coast and another on the Pacific, both of which would connect to a liquefied petroleum gas pipeline. They would be owned by the canal and likely operated by a third party, Ricaurte Vasquez, head of the authority, said during an interview Monday in New York. "We are coming into the game of port terminals,' Vasquez said. Panama's ports have drawn intense scrutiny from Washington in recent months. U.S. President Donald Trump has criticized Chinese influence over the canal, threatening to take back the waterway and falsely alleging that Beijing controls it. Panama President Jose Raul Mulino has repeatedly defended the canal as a Panamanian operation over which the country exercises full sovereignty. Though China has no role in operating the canal, Hong Kong-based conglomerate CK Hutchison Holdings has operated ports on the Atlantic and Pacific sides. The canal authority's plan to own ports is part of $8.5 billion in capital spending it's proposing over the next seven years, including the gas pipeline, a new water reservoir and roads and highways. Existing ports run by CK Hutchison subsidiary Panama Ports, located outside the canal's jurisdiction, were concessioned in 1997 and use old technology. The Panama canal will seek to use newer crane technology that moves cargo more efficiently, and compete with the more modern Cartagena port in nearby Colombia, Vasquez said. "We believe we can leapfrog that situation and we can try to do it differently,' Vasquez said. The decision comes as Mulino said his administration will draft a national maritime logistics strategy to determine a new framework for port operations in Panama. The country's comptroller has filed suit against a contract extension with CK Hutchison's local unit, potentially complicating the conglomerate's plan to sell its global terminals business to a consortium involving BlackRock. The Panama Canal is seeing an unexpected windfall this year due to new U.S. tariffs. Shippers of semi-manufactured goods and automobiles rushed to import products to the U.S. before duties took full effect, helping boost canal revenues. The canal authority expects the front-loading of cargo to dissipate in the next fiscal year beginning in October, and forecasts revenue of around $4.4 billion next year, below roughly $5 billion this year, Vasquez said. More plentiful rainfall this year has allowed the canal authority to maintain a draft of 15 meters, which will likely continue through the end of the year, he said. A severe drought in the previous two years forced the canal to limit transits and use new water-saving techniques.
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Business Standard
4 days ago
- Business
- Business Standard
Panama Canal set to enter ports business as Trump-China feud simmers
The Panama Canal is planning to enter the ports business with a tender for two terminals, a move that comes amid a high-profile clash between the US and China over the waterway. The Panama Canal Authority expects to open a tender to operate a port on the Atlantic coast and another on the Pacific, both of which would connect to a liquefied petroleum gas pipeline. They would be owned by the canal and likely operated by a third party, Ricaurte Vasquez, head of the authority, said during an interview Monday in New York. 'We are coming into the game of port terminals,' Vasquez said. Panama's ports have drawn intense scrutiny from Washington in recent months. US President Donald Trump has criticised Chinese influence over the canal, threatening to take back the waterway and falsely alleging that Beijing controls it. Panama President Jose Raul Mulino has repeatedly defended the canal as a Panamanian operation over which the country exercises full sovereignty. Though China has no role in operating the canal, Hong Kong-based conglomerate CK Hutchison Holdings Ltd has operated ports on the Atlantic and Pacific sides. The canal authority's plan to own ports is part of $8.5 billion in capital spending it's proposing over the next seven years, including the LPG pipeline, a new water reservoir and roads and highways. Existing ports run by CK Hutchison subsidiary Panama Ports Co., located outside the canal's jurisdiction, were concessioned in 1997 and use old technology. The Panama canal will seek to use newer crane technology that moves cargo more efficiently, and compete with the more modern Port of Cartagena in nearby Colombia, Vasquez said. 'We believe we can leapfrog that situation and we can try to do it differently,' Vasquez said. The decision comes as Mulino said his administration will draft a national maritime logistics strategy to determine a new framework for port operations in Panama. The country's comptroller has filed suit against a contract extension with CK Hutchison's local unit, potentially complicating the conglomerate's plan to sell its global terminals business to a consortium involving BlackRock Inc. The Panama Canal is seeing an unexpected windfall this year due to new US tariffs. Shippers of semi-manufactured goods and automobiles rushed to import products to the US before duties took full effect, helping boost canal revenues. The canal authority expects the front-loading of cargo to dissipate in the next fiscal year beginning in October, and forecasts revenue of around $4.4 billion next year, below roughly $5 billion this year, Vasquez said. More plentiful rainfall this year has allowed the canal authority to maintain a draft of 50 feet (15 meters), which will likely continue through the end of the year, he said. A severe drought in the previous two years forced the canal to limit transits and use new water-saving techniques.
Business Times
4 days ago
- Business
- Business Times
Panama Canal to enter ports business as Trump-China feud simmers
[NEW YORK] The Panama Canal is planning to enter the ports business with a tender for two terminals, a move that comes amid a high-profile clash between the US and China over the waterway. The Panama Canal Authority expects to open a tender to operate a port on the Atlantic coast and another on the Pacific, both of which would connect to a liquefied petroleum gas (LPG) pipeline. They would be owned by the canal and likely operated by a third party, Ricaurte Vasquez, head of the authority, said on Monday (Aug 11) in New York. 'We are coming into the game of port terminals,' Vasquez said. Panama's ports have drawn intense scrutiny from Washington in recent months. US President Donald Trump has criticised Chinese influence over the canal, threatening to take back the waterway and falsely alleging that Beijing controls it. Panama President Jose Raul Mulino has repeatedly defended the canal as a Panamanian operation over which the country exercises full sovereignty. Though China has no role in operating the canal, Hong Kong-based conglomerate CK Hutchison Holdings has operated ports on the Atlantic and Pacific sides. The canal authority's plan to own ports is part of US$8.5 billion in capital spending it's proposing over the next seven years, including the LPG pipeline, a new water reservoir and roads and highways. Existing ports run by CK Hutchison subsidiary Panama Ports, located outside the canal's jurisdiction, were concessioned in 1997 and use old technology. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up The Panama Canal will seek to use newer crane technology that moves cargo more efficiently, and compete with the more modern Port of Cartagena in nearby Colombia, Vasquez said. 'We believe we can leapfrog that situation, and we can try to do it differently,' Vasquez said. The decision comes as Mulino said that his administration will draft a national maritime logistics strategy to determine a new framework for port operations in Panama. The country's comptroller has filed suit against a contract extension with CK Hutchison's local unit, potentially complicating the conglomerate's plan to sell its global terminals business to a consortium involving BlackRock. The Panama Canal is seeing an unexpected windfall this year due to new US tariffs. Shippers of semi-manufactured goods and automobiles rushed to import products to the US before duties took full effect, helping boost canal revenues. The canal authority expects the front-loading of cargo to dissipate in the next fiscal year beginning in October, and forecasts revenue of around US$4.4 billion next year, below roughly US$5 billion this year, Vasquez said. More plentiful rainfall this year has allowed the canal authority to maintain a draft of 15 metres, which will likely continue till the end of the year, he said. A severe drought in the previous two years forced the canal to limit transits and use new water-saving techniques. BLOOMBERG
