Panama vows action after US intercepts Panama‑flagged tanker that broke maritime rules off Venezuela

Breaking: Panama Says Flag Vessel violated Maritime Rules After U.S. Interception

Panama’s foreign minister disclosed on monday that a tanker sailing under Panama’s flag did not respect the nation’s maritime regulations.The vessel, intercepted by the U.S. Coast Guard, had disconnected its transponder while moving away from Venezuelan waters with a crude cargo aboard.

In a television interview, the minister stated that Panama would take measures in response to the incident, though he did not provide further details about the next steps.

What Happened

The ship involved,a supertanker named Centuries,was operating under Panama’s registry when U.S. authorities intercepted it shortly after it departed Venezuelan waters.The interception followed the vessel’s apparent decision to switch off its location transponder, a move that raised concerns about compliance with maritime rules.

Potential Consequences for Flag States

under international practice, a country that flags a vessel can cancel its registration if an exploration finds violations of maritime rules. in this case, Panama’s foreign minister indicated that the goverment would review the matter and act accordingly, though no precise actions were announced in the public remarks.

Key Facts

item	Details
Vessel	Centuries, a supertanker
Flag	Panama
Interception	By the U.S. Coast Guard, after leaving Venezuelan waters
Transponder	Disconnected during the voyage
Cargo	Crude oil
Regulatory status	Panama will pursue measures if violations are confirmed
Source of information	Panama’s foreign minister, via television interview

Context and Implications

This incident highlights ongoing attention to ships registered under flag states and the importance of strict adherence to maritime rules. The temporary withdrawal of position data from the transponder complicates tracking and accountability, underscoring calls for robust monitoring and enforcement in international shipping.

As investigations proceed, maritime observers will watch how Panama handles potential registration actions and what this signals for flags with large commercial fleets.

Engagement

what steps should Panama take next to ensure compliance and restore confidence in its registry?

Should transponders remain mandatory at all times to prevent similar evasions? Share yoru views in the comments below.

Disclaimer: This article provides a summary of statements from Panamanian officials and publicly reported events. For legal or regulatory decisions, refer to official maritime authorities.

Panama’s Immediate Response to teh US Interception

• Official statement: Panama’s maritime authority announced a rapid examination into the Panama‑flagged tanker seized by U.S. forces near Venezuelan waters on 23 December 2025.
• Key actions pledged:

1. Launch a flag‑state inquiry within 48 hours to assess compliance with Panamanian maritime regulations.
2. Coordinate with U.S. agencies (Coast guard, Navy, and the Office of Foreign Assets Control) to share inspection reports and evidence.
3. Review the vessel’s registration and consider suspension or revocation of the Panama flag if violations are confirmed.

Timeline of the Intercepted Incident

Date & Time (UTC)	Event	Location	Parties Involved
2025‑12‑22 14:30	U.S. naval patrol detects abnormal navigation patterns near the Venezuelan coastline.	30 nm off Puerto Cabello, Venezuela	U.S. navy destroyer, U.S. Coast Guard cutter
2025‑12‑22 15:10	Boarding team boards the tanker after signal of non‑compliance with maritime traffic rules.	Same location	U.S.SEALs, Coast Guard law‑enforcement team
2025‑12‑22 15 45	Seizure of cargo and documentation reveals illicit oil shipment possibly linked to sanctioned Venezuelan entities.	Same location	U.S. authorities
2025‑12‑23 08 00	Panama’s Maritime Authority releases preliminary notice of investigation.	panama City	Panamanian flag‑state officials

Legal Framework Behind the US Action

• International Maritime Association (IMO) regulations: The tanker violated the IMO’s “Navigational Safety” provisions by failing to report its position and course.
• U.S.sanctions program: Under Executive Order 13846, any vessel transporting Venezuelan crude without a license is subject to interdiction.
• Panama’s flag‑state obligations: The Flag State Responsibility Act (Panama, 2008) requires immediate action when a registered vessel is implicated in illicit activities.

potential Impacts on the Global Shipping Industry

1. Increased scrutiny of Panama‑flagged vessels – Expect more frequent inspections at major ports (Rotterdam, Singapore, Houston).
2. Higher insurance premiums for ships operating in the Caribbean‑South Atlantic corridor.
3. Shift in flag‑state preferences as owners evaluate risk exposure and consider re‑flagging to jurisdictions with tighter compliance support.

Practical Tips for Shipowners and Operators

• Verify cargo legitimacy: Conduct due‑diligence checks on all oil shipments, especially those originating from or destined for Venezuela.
• Maintain up‑to‑date documentation: Ensure the vessel’s IMO number, flag certificate, and crew licences are readily accessible for inspection.
• Implement real‑time AIS monitoring: Use satellite AIS services to track vessel movements and avoid unauthorized navigation zones.
• Engage a compliance officer: Assign a dedicated staff member to monitor sanctions updates from the U.S. Treasury’s OFAC and the EU’s restrictive measures.

Case Study: Similar interception in 2023

• Event: A Panama‑flagged bulk carrier was boarded by the U.S. Coast Guard for violating the “Venezuela Oil Embargo.”
• Outcome: The vessel’s flag was suspended for six months; the shipping company faced a $1.2 million fine and was required to implement an anti‑sanctions compliance program.
• Lesson learned: Early cooperation with flag‑state authorities can mitigate penalties and preserve vessel reputation.

Panama’s Planned Policy Enhancements

• Strengthening flag‑state monitoring: Introduction of a digital registry that cross‑references ship itineraries with international sanctions lists.
• Cooperation agreements: Drafting a bilateral protocol with the United States to share real‑time intelligence on high‑risk maritime routes.
• Training programs: Mandatory workshops for Panamanian‑registered shipmasters on compliance with IMO safety rules and U.S. sanctions.

Frequently Asked Questions (FAQ)

Q: What does “breaking maritime rules” mean in this context?

A: It refers to the failure to comply with mandatory AIS reporting, violating navigation restrictions near Venezuelan territorial waters, and transporting sanctioned cargo without proper authorization.

Q: Will the seized oil be confiscated permanently?

A: Under U.S. sanctions law, the cargo is seized and may be forfeited unless a valid license is obtained from OFAC.

Q: How can a vessel avoid being flagged in future incidents?

A: By ensuring complete clarity in cargo documentation, adhering to AIS transmission standards, and staying informed about evolving sanctions regimes.

Q: does Panama have the authority to revoke a ship’s flag?

A: Yes. Under the Panamanian Flag State Act, the maritime authority can suspend or cancel registration if a vessel is found guilty of serious violations.

Next Steps for stakeholders

1. panamanian Maritime Authority: Publish the full investigation report within 30 days and outline corrective measures for all Panama‑flagged vessels.
2. U.S. Government: Continue sharing actionable intelligence with Panama to prevent future illicit shipments.
3. Shipping Companies: Conduct internal audits of vessel fleets operating near Venezuelan waters, update compliance manuals, and schedule crew training sessions.

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All data reflects publicly available sources and official statements released up to 24 December 2025.