FMC Threatens Fines for Panama Over Canal Operations

The newly appointed head of the Federal Maritime Commission (FMC), Louis Sola, threatened to issue substantial daily fines to the Panamanian government, and bar Panamanian-flagged vessels from calling at U.S. ports if the FMC finds that Panama’s laws or practices are harmful to U.S. shipping.

During an interview with CNBC January 28, Sola said that Panama has been inching closer to China, and that no-bid contracts give China an unfair advantage at the Panama Canal and nearby ports. He added that reports that Chinese companies are getting canal tolls ref…