Hormuz Disruptions Drive Record Shipping Costs, Panama Canal Auctions Hit $4-5M

Disruptions in the Strait of Hormuz have diverted energy cargo traffic to the Panama and Suez Canals, driving shipping costs to record highs. Vessel operators are paying $4-5 million in auctions for single Panama Canal transits, reflecting severe chokepoint congestion. The situation signals sustained supply-chain strain and elevated energy transport costs, with implications for global trade and inflation.