Panama canal traffic to be cut again as drought from El Niño worsens

Latest daily reductions will further choke one of the world's most important shipping lanes

The Panama canal plans to again cut maritime traffic due to worsening drought caused by the El Nino climate phenomenon, further choking up one of the world's most important shipping lanes.

The canal handles 5% of global maritime trade and about 40% of US container traffic; it is favoured by shippers because it usually reduces cost and transit times, especially for companies trading between China, Asia and the US.