The International Information Center for Structural Engineers

Items filtered by date: Friday, 07 February 2014

Negotiations relating to a financial dispute on the Panama Canal Expansion project between the European building consortium GUPC, or Group United for the Canal, and the Panama Canal Authority, a government agency, broke down on Tuesday.  While it is unclear if work has completely stopped on the project, it is confirmed that the GUPC has reduced their work by at least 75 percent from when the consortium was working at full capacity.  Any delays to the expansion project will have far reaching economic impacts, particularly for ports on the Atlantic Ocean.  Many U.S. cities have already invested millions of dollars to increase the size of their docks in order to handle the larger ships passing through the expanded canal.  Liquefied natural gas producers from the Gulf of Mexico who are shipping their product to Asian markets must still travel around South America at Cape Horn, a two-week delay compared to crossing the Panama Canal.  Also, Panama will be able to increase its annual toll revenue from the canal from $1 billion to $4 billion once the project is finished.