Source: TEU data from American Association of Port Authorities. Transshipment data adapted from Drewry Shipping Consultants and port authorities.
- Proximity to shipping lanes. Transshipment activities tend to converge in proximity to main long distance shipping lanes to avoid undue detours (deviations). The Panama Canal essentially acts as a funnel for shipping lanes between the Atlantic and the Pacific oceans. It is thus not surprising that ports on both sides of the canal (Balboa and Colon) have a dominant transshipment function as stopping to enter the Panama Canal offer the opportunity to drop or pick up cargo. Kingston, Jamaica has a central location, in proximity of the Gulf of Mexico, the East coast and transatlantic routes. On the Pacific Coast, both Manzanillo (Mexico) and Callao (Peru) offer transshipment opportunities for the transpacific and South American shipping routes.
- Costs and land availability. An important factor in transshipment remains terminal costs and efficiency, with ports located in developing countries having lower labor costs. Miami would be a logical location for transshipment, but due to higher costs and cabotage restrictions (Jones Act) nearby Freeport (Bahamas) assume that role. Several global terminal operators such as DPW (Puerto Caucedo) and HPH (Freeport, Cristobal and Balboa) have invested in terminal developments in part because several Caribbean port sites have room for expansion with the site selected with higher depth in mind to accommodate the new generations of containerships. One of the prerequisites of a port location, the quality of hinterland access, thus plays a much less important role.