Germany plans to spend EUR280 million (US$439.2 million) on raising the capacity of the 98-kilometre Kiel Canal that links the lower Elbe River to the Kiel Fjord and serves as a link between the North Sea and the Baltic.
The Kiel Canal carries most container feeder traffic between ports in Finland, Russia and the Baltic states, Poland and Scandinavia.
The expansion of the Kiel Canal will enable this vital passageway to accommodate vessels up to 280 metres long and 33 metres wide, up from the present 235 metres by 32.5 metres.
However, a report by AXS-Alphaliner News said that ships of such dimensions will exceed the air-draught limitation of 40 metres, as required by the canal's 10 rail and road bridges.
It added that EUR140 million is already being invested to remove some of the bottlenecks on the eastern side of the canal.
If everything goes to plan, the whole project will be completed in 2018.
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