Panama City is actively pursuing a project to construct a pedestrian tunnel beneath the renowned Panama Canal, spearheaded by Elon Musk’s Boring Company. Mayor Mayer Mizrachi has outlined his ambitious vision for a 0.6-mile tunnel that would enhance the connection between residents and the canal, a vital artery for global maritime trade.
The initiative gained momentum as Panama City was named one of the sixteen finalists in the Boring Company’s Tunnel Vision challenge, which offers the winning city a complimentary tunnel project. Notably, Panama City is the only finalist located outside the United States. The Boring Company aims to showcase innovative engineering by selecting a project that pushes the boundaries of their tunneling capabilities.
In an interview with POLITICO, Mizrachi expressed his desire for the tunnel to serve as a public space that allows both locals and tourists to engage with the canal’s rich history. He envisions an educational experience where visitors can learn about the canal’s construction, its ecological significance, and its impact on international trade through interactive displays.
The winner of the challenge will be announced on March 23, 2025. Mizrachi recently visited Texas to present his proposal, where he met with the Boring Company’s Vice President for Global Operations, Jim Fitzgerald. During this meeting, Mizrachi gained insights into how the company approaches its tunneling projects and the feasibility of constructing a tunnel under water.
Mizrachi’s proposal was initially inspired by a Boring Company tweet in January 2025, announcing the Tunnel Vision challenge. Following this, city planners quickly developed a detailed plan that highlights the tunnel’s potential to create a unique public space. The project aims to transform how Panamanians experience their own canal, which plays a crucial role in the country’s identity and economy.
Reflecting on the significance of the tunnel at a time of heightened geopolitical tensions surrounding the canal, Mizrachi noted, “Panamanians are proud of the canal, but we seldom get to live it.” He emphasized the need for a structure that not only facilitates transportation but also educates the public about the canal’s historical and economic importance.
Given the Boring Company’s expertise, Mizrachi believes that Panama City could have an edge over competing American cities. He pointed out that the Boring Company has never constructed a tunnel underwater, making this project a unique opportunity for them to demonstrate their engineering prowess.
The tunnel proposal is also aligned with Mizrachi’s broader governing philosophy, which emphasizes efficiency and cost reduction. Since taking office in July 2024, he has implemented significant budget cuts and workforce reductions at City Hall, aiming to streamline operations and enhance service delivery. His approach mirrors that of an entrepreneur, prioritizing innovative solutions over traditional political practices.
The Boring Company, known for its rapid tunneling technology, reuses its tunneling machines, making projects more cost-effective than conventional methods where machines are often discarded after a single use. This sustainable approach could make the Panama Canal tunnel a model for future infrastructure projects worldwide.
As anticipation builds for the Tunnel Vision challenge outcome, Mizrachi remains optimistic about the potential benefits of the project for Panama City. Should the proposal be selected, it could lead to a transformative development that not only bolsters local pride but also reinforces the canal’s significance on the global stage.
