What is the importance of the Panama Canal?

Logistically, the Panama Canal was a huge development; it provided a connection between the Pacific Ocean and Atlantic Ocean between North and South America. Prior to its construction, sailors were forced to take the much longer route of traveling entirely around South America. The impacts of this massive structure are economic, historical, and scientific.
The French started the project in 1880 but, because of geographical difficulties and health concerns (yellow fever and malaria), conceded defeat quickly. The US bought and took over their efforts in 1902 but could not proceed, because Columbia refused to allow construction (at the time, Panama was a Columbian territory). The US chose to solve this problem by backing Panama’s successful revolution, thereby gaining their approval for construction.
The Americans had the same logistical problems as the French but developed structural and sanitary policies to overcome them. They switched to a lock canal system to adapt to the natural geography of the area and, under the direction of three different engineers, were successful. Chief Sanitary Officer Dr. William Gorgas solved the problems of malaria and yellow fever by realizing that mosquitoes were the culprits spreading them. His team fumigated to kill the insects and cleaned out the areas of standing water that attracted them, vastly reducing the rates of illness among the construction workers.
Though a costly enterprise, the Panama Canal resulted in a huge boom in global trade. The income from tolls and the money and time saved by the shortened trade route have been significant. Military use of the canal is also relevant, with the same time and financial benefits applying to the passage of naval ships. Control of the canal was passed from the US to Panama in 1999.
Ultimately, the Panama Canal led to improved construction and sanitation techniques, a country’s independence, and increased global trade.
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