News

A new deal announced this week puts Panama on the fast track to become a major player in the global semiconductor business.

The United States officially announced that Panama had been chosen to receive support through the CHIPS Act of 2022, which focused funds on improving the manufacturing, design, and research of semiconductors. As a first step, the U.S. will work with Panama to assess the country’s existing semiconductor ecosystem, to identify opportunities for future collaborations in the industry, El Capital Financero reports.

“Panama’s unparalleled logistics capabilities, favorable business environment, and remarkable political stability make it an exceptional choice as a semiconductor assembly, packaging, and testing center,” President Laurentino Cortizo Cohen said.

This is great news for Panama’s manufacturing and technology base, which continues to provide a steady flow of buyers and renters to the market. Our property management team works with many of the big technology companies to place their executives in rentals, and we’re looking forward to the continued growth of the semiconductor industry.

The CHIPS Act — the acronym stands for Creating Helpful Incentives to Produce Semiconductors — was passed to help develop a better value chain for the U.S. semiconductor industry. Panama is focusing on semiconductor technology as a cornerstone of economic growth, national security, and technological innovation.

Collaboration with the United States represents a crucial step to strengthen the resilience and competitiveness of this vital industry,” the president told the media.

The expansion of this industry in Panama has the potential to create well-paid jobs, particularly for young people, while improving the technological capabilities of Panama’s skilled workforce, the President said.

Panama will be collaborating with Arizona State University to develop programs to support the education of Panamanians to work in the semiconductor industry, according to the government announcement.