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Answer: Because it connects the Atlantic Ocean with the Pacific Ocean across the Isthmus of Panama.

  • The Panama Canal cuts across the narrow Isthmus of Panama in Central America and joins the Caribbean Sea (Atlantic Ocean) to the Pacific Ocean.
  • Before it opened in 1914, ships from the east coast of America and Europe had to go round Cape Horn in South America to reach the Pacific.
  • The canal shortens the route between New York and San Francisco by thousands of kilometres and saves time and fuel.
  • Ships entering the Pacific from the Atlantic side use it, so it is called the gateway to the Pacific.
Doubtly AI · 28 Oct 2026 AI-verified · Oct 2026 Report
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