In an era where resilience, diversification, and digital sovereignty define the future of global technology, Panama emerges as a strategic partner for companies seeking to expand, relocate, or strengthen their position in the semiconductor value chain. Backed by a national strategy, international partnerships, and unmatched connectivity, Panama is building the infrastructure, talent, and business ecosystem to host advanced semiconductor operations — from assembly, testing and packaging (ATP) to design services and logistics.
With a population of 4.2 million, a GDP per capita of USD 18,725, and 7.3% economic growth in 2023, Panama is Latin America’s fastest-growing, most open, and service-oriented economy. Its 1.5% inflation rate and 2 million+ workforce offer macroeconomic strength and talent readiness for global high-tech investment.
Panama leads in competitiveness and ease of doing business:
- #1 in Logistics Infrastructure (Latin America, LPI 2023)
- #1 in Efficiency to Start a Business
- #1 in Business Openness in the Americas
- #2 Financial System in Latin America
- Over USD 147.9 billion in banking assets (May 2024)
- 63 international banks operating locally
- US Dollar as legal tender
With political and legal stability, Panama offers predictability and confidence for global operations.
A regional leader in environmental and commercial responsibility:
- One of only three carbon-negative countries in the world
- 23 Free Trade Agreements
- Access to 59 countries
- Covers 59% of global GDP
- Reaches 1.6 billion consumers
Panama’s sustainability credentials and expansive trade network make it the most integrated commercial platform in Latin America.
Panama handles 3% of global maritime trade and offers seamless multimodal logistics:
- 180 maritime routes
- 170 countries served
- 1,920 ports connected worldwide
- Tocumen International Airport: best air connectivity in Latin America
- Integration of port, air, rail, and road infrastructure
This positions Panama as an unmatched hub for the distribution of high-value, time-sensitive goods like semiconductors.
Panama is a prime location for companies shifting supply chains closer to the Americas:
- Proximity to North and South American markets
- Stable, dollarized economy
- Low political risk and high commercial openness
- Faster delivery cycles and reduced logistics costs
- Human capital and infrastructure aligned with backend operations (ATP)
Panama is not just near — it’s strategically essential.
At the core of the region’s digital infrastructure:
- 6 submarine fiber optic cables landing in Panama
- Redundant, high-capacity data systems
- Ideal for R&D, AI, design verification, and secure data processing
- High standards in digital reliability and international connectivity
Perfect for semiconductor companies requiring advanced digital infrastructure.
Panama’s energy system aligns with global ESG and operational needs:
- 70% of electricity from renewable sources
- Competitive industrial energy pricing
- Reliable power grid and green energy incentives
Supports sustainable semiconductor manufacturing at scale.
Two unique frameworks for multinational operations:
- EMMA (Manufacturing Services): For companies in assembly, logistics, R&D, and testing. Offers tax exemptions, fast-track immigration, and operational benefits.
- SEM (Multinational Headquarters): Ideal for global or regional HQs. Includes tax incentives, labor flexibility, and financial advantages for companies serving regional markets.
Panama is committed to long-term talent development and ecosystem building:
- C-TASC (Advanced Semiconductor Technologies Center):
Led by UTP, it will serve as a national hub for microelectronics training and research. - Collaborative education strategy between UTP, Universidad de Panamá, private universities, and international partners
- ITSE: Developing a specialized technical workforce in quality testing, design, and electronic systems
- Focus on STEM education, international scholarships, and industry-aligned training
- Investments in startups, technology transfer, and innovation hubs to consolidate a dynamic semiconductor ecosystem
Panama is cultivating not just infrastructure, but talent and innovation.
