Panama Pacífico

panama pacifico

The Panama Pacifico Free Zone is located close to the Pacific entrance of the Panama Canal, in the former Howard US Air Force Base. It is the newest Special Economic Zone created in Panama, with mixed-use real estate developed by London & Regional Properties, the world’s largest real estate developer. It is a special economic zone with residential and recreational areas, as well as Industrial Zones with approximately +280 established companies. Out of this, 90 companies are fully operational. With an approximate working force of about 5,500 direct employees, an approximate of 90% is Panamanian. Among those multinationals it can be mentioned Dell, Caterpillar, Procter and Gamble, and 3M.

PANAMA PACIFICO IN NUMBERS

  • 1,400 hectares: 800 of mix development, 600 of preservation area
  • 46,000 sqm offices developed out of 350,000 sqm
  • 210,000 sqm warehouses developed out of 1M sqm
  • Presence of +280 companies, +10,000 workers
  • 1,300 residential units out of 30,000 delivered, +3,000 residents

Any type of business can relocate to Panama Pacifico. There are several options to lease or buy an operational base in one of the following environments:

    • International Business Park: Ideal for headquarters, call centers, offices and light assembly plants.
    • PanAmerica Corporate Center: Ideal for logistics, assembly, freight management and manufacturing operations. 
    • Town Center – Retail Opportunities
    • Residential – Several residential developments.

These are the typical activities in Panama Pacifico –

• Multinational Headquarters
• Back office operations
• BPO, ITO; KPO & Call centers
• Multimodal and logistics services
• Processing, manufacturing & assembly
• High-tech products and process manufacturing
• Aircraft maintenance, repair and overhaul
• Transfer of services to the aviation industry
• Offshore Services
• Film industry
• Data transmission, radio, television, audio and video
• Transfer of inventories between local companies
• Transfer of goods and services to ships, planes and their passengers
• Sale of merchandise not manufactured in Panama Pacific, intended for export, when made by multinational companies or any of their affiliates, subsidiaries or companies of the same economic group

Tax Incentives for Operating in Panama Pacifico –

    • Exemption from import duties (unless goods are sold within Panama)
    • Exemption from export or re-export taxes.
    • Income tax exemption for specific business activities as described in Tax Law 41
    • Dividend tax exemption for specific business activities
    • License tax exemption
    • Real estate property tax exemption
    • Exemption from taxes on international phone calls.
    • Municipal tax stability guaranteed for 10 years from date of registration
    • Exempt from withholding tax on royalties paid to foreigners for specific business activities
    • Exempt from capital gains tax on company stock transfer
    • Stamp tax Exemption

Employment Benefits of Operating at Panama Pacifico –

    • 25% fixed surcharge for overtime
    • Weekly resting day doesn’t have to be Sunday like in the rest of Panama.
    • Companies may remain open on Sundays and holidays
    • Negotiable vacations
    • Increased freedom for terminating labor contracts
    • Allowance for foreign specialized workforce of 15%

Immigration incentives –

  • There are no restrictions regarding the number of expat personnel in the company. That means that 100% of the personnel can be foreign.
  • The site’s one-stop shop handles all visa and work permit procedures for its employees.
  • Special visas available for investors and workers (3 to 5 years is the standard time period).
  • Visa benefits extend to the worker’s immediate relatives: spouse, dependent children up to 25 years of age, dependent parents over 62 years of age.
  • One-time, duty-free importation of any personal and household belongings (up to US$100,000).

Important: Panama Pacifico has a One Stop Shop, which streamlines the process for establishing a business. This process brings together the coordination of 15 government offices within a single location, and includes the processing of visas and labor benefits, which saves companies considerable time and money.

To view a special presentation of Panama Pacifico, please click here

If you want to Set Up your Business in Panama Pacifico, we have licensed real estate agents, investment advisors and we work closely with Pardini & Asociados, a law firm with 40 years of experience for all legal matters to assist you on all your business needs.

The BusinessPanama Group provides a convenient One Stop Shop offering the services of

    • Setting up the company or branch
    • Locating office or warehouse in Panama Pacifico for the company and living premises in Panama City for  its executives
    • Setting up all operations, contracts, permits, etc.
    • Accessing special tax incentives
    • Applying for visas, work and residence permits
    • Relocation services
    • Others

For more information, please contact us.

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