Panama’s long retreat from the top of the global ship registry rankings has reached another milestone, with the once dominant flag now overtaken by the Marshall Islands to fall into third place. The latest Clarksons Research data, dated September 1, shows the Marshall Islands fleet at 212.7 million gt, comfortably ahead of Panama on 196 million gt, while Liberia has extended its lead at the top to 317.4 million gt. Panama remains comfortably ahead by vessel numbers, with 7,516 ships against 4,808 for the Marshall Islands and 6,167 for Liberia, but its tonnage has contracted sharply, down 15% this year from 230.5 million gt at the end of 2025, while both Liberia and the Marshall Islands have grown 8.7%.
The reversal caps three decades in which Panama ranked as the world’s largest registry until Liberia finally surpassed it in 2023. The decline has accelerated as Panama cleans up its register while simultaneously becoming caught in geopolitical crossfire: the Panama Maritime Authority ceased accepting tankers and bulkers older than 15 years as part of a broader push to separate the flag from sanctioned and shadow fleet tonnage, while increased Chinese scrutiny of Panama-flagged vessels followed Panama’s removal of CK Hutchison-linked operators from two canal ports, prompting shipowners to increasingly look at Liberia and the Marshall Islands as alternatives. Chinese leasing companies have since demanded that certain owners change flag away from Panama when securing newbuilding finance, compounding pressure on a fleet whose average vessel age of 19.5 years is already the highest among the top five flags.
Source: Splash247 — https://splash247.com/panama-slips-to-third-in-global-flag-rankings/
Tags: Panama, Ship Registry, Marshall Islands, Flag State
