Panama Canal transit-slot auction prices are surging as drought linked to El Niño and disruptions around the Strait of Hormuz and Bab el-Mandeb reduce available shipping capacity. SK Gas paid a record $5.3 million for its LPG carrier G. Spirit to transit northbound on September 1, surpassing the $4.6 million record set earlier in August by SK Shipping. The Panama Canal Authority will limit daily transits to 34 vessels from September 4 and 32 from September 15, compared with capacity of about 40 vessels and an average of 35 daily transits through June. Unreserved vessels now face waits of up to 17 days, with other market data indicating approximately 11 days. The authority said most vessels use its reservation system and that auction results reflect clearly strong demand, while median prices of about $55,000 before February 2026 have been eclipsed by recent bids. The higher costs could feed into freight rates, import prices and global inflation, particularly on Asia-U.S. East Coast routes.