By GMM News | 2025-02-24 | International Shipping News |
Panama’s ship registry has achieved a 96.5% compliance rate with international maritime safety and environmental protection standards, while simultaneously strengthening its position against sanctions evasion through new regulatory measures.
With 8,773 vessels and 248.8 million gross registered tonnes, Panama’s ship registry ranks as the world’s largest by vessel count. The registry accounts for 15% of the world’s merchant fleet tonnage, highlighting its significant role in global shipping.
“We have maintained a policy of zero tolerance for any attempt at misuse of the Panamanian registry. We are not a refuge for the evasion of sanctions. Our priority is to attract young and newly built ships, and that comply with international regulations,” said Ramón Franco, general director of the General Directorate of Merchant Marine (DGMM).
The Panama Maritime Authority (AMP) has taken decisive action against sanctions violations, particularly concerning vessels linked to Russia’s Ukraine-related sanctions. In November, the authority deregistered four LNG carriers connected to Russian gas producer Novatek. This was followed by the cancellation of six more vessel registrations in December after they were sanctioned by the UK.
To enhance its oversight capabilities, Panama implemented several key initiatives in 2024. The “Panama Flag Precheck Process,” launched in September, aims to strengthen due diligence for new registrations. The country also joined the Registry Information Sharing Compact (RISC), a collaborative effort to prevent “registry-hopping” by vessels attempting to evade sanctions.
Executive Decree No. 512, issued in October, expanded the PMA’s authority to act against vessels suspected of sanctions evasion or illicit activities. This legal framework is further supported by Article 49 of the General Law 57 of the Merchant Marine, which enables the PMA to cancel vessel registrations when sanctions violations are detected.
The registry’s growth remains strong, with a net increase of 468 vessels in 2024, including 408 newbuild vessels, adding over 9.4 million TRB to the registry.
The Panamanian fleet undergoes regular evaluation through various international instruments, including Memoranda of Understanding from Paris, Tokyo, Mediterranean, Indian Ocean, Black Sea, United States Coast Guard, Caribbean, Riyadh, Abuja, and the Viña del Mar Agreement.
