What important trade route passes through Panama?

The Panama Canal is significant because it serves as a crucial trade route that connects the Atlantic and Pacific Oceans. Opened in 1914, the canal drastically reduces the travel distance for ships compared to the longer route around the southern tip of South America, Cape Horn. This strategic waterway has transformed global shipping and trade by facilitating the movement of goods between different parts of the world, making it one of the most vital maritime routes in history.

The other options, such as the Suez Canal, while important in their own right as a trade route connecting Europe and Asia, do not pass through Panama. The Panama Highway and the Pacific Route are not formal trade routes comparable to the global significance of the Panama Canal. Therefore, the Panama Canal is correctly identified as the important trade route that passes through Panama, highlighting its critical role in international commerce.