June 26th, 2016

A new route was opened to global trade.

Panama Canal expansion

On June 26, 2016, the historical day on which Panama celebrated the inauguration of the third set of locks of the Interoceanic Canal, which represents one of the main assets of the Panamanian people, placed at the service of the region, the international community, and global commerce. 

Panama is an important link in the global supply chain because its geographical position has shortened distances and has served as a center for the redistribution of goods to others countries in the region.

The expanded route increases the cargo capacity of ships that transit the interoceanic route, accompanied by port and logistics development in the region, allowing post-Panamax ships to pass through this new route. 

This route attracts the post-Panamaxes to this region, which is why they pass and stop in countries that develop their logistics infrastructure to supply these ships with what they need, in other words, the expansion of the Panama Canal attracts economic growth, new skills and new jobs throughout the region.

The expansion allows post-Panamax-owned commercial shipping agencies to move large quantities of products through the Canal, saving time and money, from Asia to the United States and vice versa.

But, this canal infrastructure is more than a great work of engineering and technology that attracts economic growth, since it also seeks the unity of the American continent, making the isthmus of Panama a meeting point for the international community, with which the Latin America and the Caribbean benefit enormously.

Neutrality Treaty

As a focal point, Panama is able to connect thousands of people, promoting peaceful collaboration, and strengthening business relationships for a better future. 

For this reason, Panama defends, promotes, and guarantees the Neutrality of the Panama Canal. Panama's foreign policy has historically been kept out of international war controversies, so that Neutrality is not compromised and the interests of the States are not affected.

Neutrality treaties are designed to maintain international peace and security. The Panama Canal is neutral. 

The permanent neutrality of the Canal is guaranteed by Panama and by the international community, whenever Panama so requests it to the United Nations System.

The Republic of Panama signed a Permanent Neutrality Treaty with the United States. In Article II of the Treaty, Panama declares Canal neutrality so that, both in time of peace and in time of war, the Canal remains safe and open to peaceful transit of the ships of all nations.

In this way, the Canal and consequently the Isthmus of Panama should not be the target of retaliation in any warlike conflict between other nations of the world.

According to Article VII, numeral 1 of said Treaty, both parties agreed to co-sponsor a Resolution before the Organization of American States, by means of which said Treaty would be opened for accession, so that this instrument would be reinforced by opening up to the international community, thus acquiring greater weight worldwide, ensuring that this neutrality is protected multilaterally.

for all of the above, Panama must refrain from taking sides in warfare or from joining alliances in international conflicts, whether symmetrical or asymmetrical, that is, between States or against belligerent threats such as terrorism, which could make Panama a target for possible attacks.