Strait of Magellan Ship Traffic Jumps More Than 70% in August and September

Ship traffic through the Strait of Magellan increased by more than 70% in August and September 2026 compared with the same period a year earlier, amid restrictions affecting the Panama Canal and disruptions in the Middle East.

According to Chilean Navy data cited by Bloomberg, the increase was driven mainly by drought conditions affecting the Panama Canal, which have lowered water levels and forced restrictions on both vessel draft and the number of ships allowed to transit the interoceanic waterway each day.

Disruptions in the Middle East have added to the pressure, prompting some operators carrying cargo from South America and West Africa to Asia to avoid the region and likely reroute through the Strait of Magellan, Bloomberg Intelligence analyst Kenneth Loh said.

“The drought in Central America has undoubtedly been the main driver,” Loh said. He added that the situation has also forced shipowners and operators to pay exceptionally high fees for vessels without Panama Canal transit reservations to avoid the long queues caused by transit restrictions.

“For vessels seeking to avoid these transit restrictions, long queues or high fees, diverting through the Strait of Magellan is a natural alternative,” the analyst said.

The increase was particularly noticeable among vessels of between 60,000 and 65,000 gross register tons (GRT). According to Bloomberg, the trend illustrates how climate-related and geopolitical disruptions along some of the world’s main maritime routes are reshaping global trade lanes and increasing the importance of alternative waterways.

Strait of Magellan Ship Traffic Could Remain Elevated in Coming Months

The upward trend in traffic through the waterway at Chile’s southern tip could continue in the coming months, coinciding with the start of the cruise season.

For reference, the Chilean Navy’s Maritime Statistical Bulletin recorded a total of 2,394 sightings of large vessels in the Strait of Magellan in 2025. Of these, 523 were Chilean-flagged vessels and 1,871 were foreign-flagged.

Source: MundoMaritimo

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