10 January 2024 (Lloyd's List) - MAERSK is modifying its OC1 service between Oceania and Americas to bypass the Panama Canal amid draught-led restrictions on daily transits and vessel droughts.

Using a so-called "land bridge", vessels on the service will omit the Panama Canal and cargo will instead be transported across the 80 km separating its two sides via rail. This will create two separate loops, one in the Atlantic and one in the Pacific.

"Pacific vessels will turn at Balboa, Panama, dropping off cargo heading for Latin America and North America and picking up cargo heading for Australia and New Zealand," Maersk said in a customer advisory.

"Atlantic vessels will turn at Manzanillo, Panama, dropping off cargo heading for Australia and New Zealand and picking up cargo heading for Latin and North America."

The move comes as canal transits have been severely limited amid some of the region's driest months on record.

Better than expected rainfall in November led the Panama Canal Authority (ACP) to cancel further transit restrictions for that would’ve seen daily transits cut from 22 in December to 20 and 18 in January and February, respectively, and instead raise them slightly to 24. However, that is still two thirds below "normal" daily transit levels.

Maersk said there are no delays to northbound vessels stopping in Philadelphia and Charleston but that southbound vessels may experience some delays.

In addition, Cartagena would be emitted from the OC1 route, and customer will be served through "alternate vessels", Maersk said.

The liner plans to continue operating the PANZ service from the US west coast to Oceania and to connect ports in the US Gulf to the OC1 route, it said.