There's another supply chain issue that may be of concern to U.S. manufacturers: The Panama Canal is in the middle of a drought and imposing restrictions on container ships passing between the Pacific and Atlantic oceans.
The canal saw more than 13,000 transits in 2021. It hasn't stopped traffic but did reduce the draft line — the minimum depth of water the ship can safety navigate — by more than 9 feet since the beginning of May. That means that ships may have to carry smaller, lighter loads, which would increase shipping costs and time, the website Seatime Maritime News writes.
Gatun Lake, which is used to supply the canal's operations, was measured at a depth of 79.9 feet on June 8. In 2022, it was at 86.5 feet. Projections from the Panama Canal Authority is that the lake level could drop more than another foot by early August if conditions don't change. That would require even more restrictions on the ships passing through the locks.