Panama Pacific Line was a subsidiary ofInternational Mercantile Marine (IMM) established to carry passengers and freight between the USEast andWest Coasts via thePanama Canal.[1]
Although IMM had begun preparations for the intercoastal service as far back as 1911,[2] service began in May 1915 with the formerRed Star Line (another IMM subsidiary line) shipsKroonland andFinland.[1][3] When landslides in September 1915 closed the canal for an extended time,Kroonland andFinland were reassigned to the IMM'sAmerican Line.[4] The outbreak ofWorld War I and its strain on international shipping caused the intercoastal service to be suspended.
In 1923Kroonland andFinland were returned to the reinstated intercoastal route along with the American Line passenger steamerManchuria.[5][6]Manchuria's sister shipMongolia supplantedKroonland on the route in 1925.[7]
Three ships with steamturbo generators andturbo-electric transmission —California,Virginia andPennsylvania — came into service in 1928–29, replacing all the other ships on the intercoastal service. These three newest ships included a drive-on service for passengers' automobiles, which allowed passengers to disembark with their cars at ports of call, such asHavana, a stop added in the early 1930s.[8]
In 1936California, docked atSan Pedro, California, was the setting for theSSCalifornia strike, which contributed to the demise of theInternational Seamen's Union and the creation of theNational Maritime Union.
In June 1937 theUnited States Congress withdrew all maritime mail subsidies, which by then included a total of $450,000 per year to Panama Pacific for its three liners.[9] At the beginning of March 1938 thePanama Canal tolls were revised, increasing Panama Pacific's costs by $37,000 per year.[9] As a result of these cost increases and continuing labor difficulties, Panama Pacific ended its New York – California service and took all three liners out of service.[9]California was the last to leave service, joiningPennsylvania andVirginia in New York at the beginning of May 1938.[9] TheUnited States Maritime Commission took over the three liners and transferred them toMoore-McCormack Lines to start a New York —River Plate service underFranklin D. Roosevelt'sGood Neighbor policy.