Panama has taken a strong step in enforcing international rules by removing 107 ships from its official registry. These ships were flying the Panamanian flag but were listed under international sanctions. Another 18 ships are also in the process of being removed. The decision was made to ensure that Panama’s name is not linked to any illegal activities.
The announcement was made on March 28 by the Panama Maritime Administration (AMP), the government agency that oversees ship registrations in the country. The action follows a new law passed in 2024, which allows the AMP to cancel the registration of ships and their owners if they appear on any international sanctions list. These lists are maintained by organizations such as the United States’ Office of Foreign Assets Control (OFAC), the European Union, and the United Kingdom.
Ships registered in Panama benefit from lower fees and fewer regulations, making the country a popular choice for shipowners worldwide. However, authorities are now cracking down on vessels that may be involved in suspicious or illegal activities.
Panama Stands Firm Against Illicit Activities
The Panamanian government clarified that this action was taken to prevent any vessel linked to illegal trade or suspicious financial dealings from operating under its flag. The AMP stressed that the cancellation of ship registrations is in line with its commitment to international law and transparency in global maritime trade.
Panama Rejects False Claim on US Government Ships Free Canal Passage
By removing these vessels, Panama ensures that its fleet is not misused by individuals or organizations trying to evade international sanctions. The government is also reviewing its laws to make its merchant fleet even more secure and reputable.
This move comes at a time when global maritime trade is under intense scrutiny. Countries and international organizations are closely watching how ships are used for trade, and Panama is demonstrating that it does not tolerate illegal activities under its flag.
Recent Disputes Over Panama Canal Fees
In a separate development, Panama recently found itself in the middle of a debate over the fees charged for ships passing through the Panama Canal. On February 5, the U.S. State Department claimed that Panama had decided to waive transit fees for American government ships, saying this would save millions of dollars for U.S. taxpayers.
However, just a day later, on February 6, Panama’s president denied these claims, calling them false. This contradiction has sparked discussions about the country’s policies regarding the Panama Canal, which is one of the most important shipping routes in the world.
Panama’s maritime authority has not linked the cancellation of ship registrations to this dispute, but both actions highlight the country’s growing focus on regulating its shipping industry and ensuring its reputation remains intact in the global market.
