Panama's Ship Registry Returns to the 'White List' of the Paris Memorandum

The authorities of Panama emphasize the successful return of their ship registry to the 'White List' of the Paris Memorandum after several years in the 'Grey List'. This event confirms their efforts to maintain the highest standards for vessels registered under the Panamanian flag.

This is a critical development for the flag and registry, which is the largest by the number of vessels. It has faced pressure from competitors and criticism for having low-quality ships and sheltering shadow tankers. The administration has made targeted efforts with government support to clean up the registry and improve its management.

The annual list, which sets standards for flags, came into effect on July 1 and is based on three years of data reviewed by the Paris Memorandum. The effectiveness of the flag is assessed using a rolling three-year average based on inspections and detentions conducted in ports that are part of the organization.

Panama reports that from 2023 to 2025, there were 57,312 inspections of vessels under its flag. Data shows that during this period, there were 338 detentions, which is 5.9 percent, significantly lower than the Paris Memorandum standard of 7 percent for being on the 'White List'.

Vessels on the 'White List' are recognized for meeting the highest standards, which is also reflected in their inspection procedures.

Panamanian authorities emphasize a sustainable strategy to strengthen safety standards, enhance compliance with international conventions, and increase oversight of Panama's merchant fleet. The return to the 'White List' reflects a series of initiatives over the past few years aimed at improving inspection outcomes and raising the overall quality of the registry.

Among the steps they highlight are strengthening the program of preventive inspections and introducing stricter mechanisms for identifying and monitoring vessels with a history of deficiencies during inspections. Improved methodologies for flag inspections have also been adopted.

Other efforts included enhancing the pre-check process to ensure that only vessels meeting international standards are admitted to the Panama Ship Registry. The process for removing offenders has also been improved, and the number of flag cancellations has increased.

However, the Panamanian flag faces pressure in 2026 due to political and commercial disputes between Panama and China. China recently denied reports that it is targeting vessels under the Panamanian flag in retaliation for the cancellation of CK Hutchison operations at the Balboa and Cristobal ports. The number of detained vessels under the Panamanian flag in China has sharply increased, while China claims this is related to vessels' involvement in accidents with fishing boats.