Since last year, authorities have had to limit vessel traffic through the canal, which handles about six percent of global maritime trade.

Severe drought has led to a significant decline in Panama Canal traffic, causing disruption to a vital global trade route

At Mexico's narrowest point, linking the Pacific and Atlantic oceans, the government is building a railway rival to the Panama Canal with promises of economic bounty but amid fears of environmental and social harm.

Officials have enacted regulations and are encouraging shipping companies to collaborate in addressing challenges posed by a tropical storm on a critical sea route.

The drought, made worse by the Pacific phenomenon known as El Nino, has forced authorities to restrict the waterway to ships with a draft of 43 feet (13.11 meters).

The Panama Canal had previously been expected to earn about $4.9 billion in fees in 2024.

Protests in Panama, that were prompted by high inflation and fuel prices, continued on Thursday after an attempted deal with the government to cap or lower prices fell apart.