Panama's SEM (Multinational) Business Sector

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Panama: New Companies in the SEM Regime

JCB from England, Isuzu Motors Limited from Japan and China Railway International Group CO have set up under the conditions of the regime known as SEM (Sede de Empresa Multinacional or Site of a Multinational Company)

Friday, June 8, 2018

The Ministry of Industry and Commerce announced that from these sites companies will provide services to their subsidiaries in the region.

"... The JCB group, headquartered in England, is dedicated to the manufacture and marketing of heavy equipment for construction, agriculture, recycling and waste management, and power generation, among other things."

"... China Railway International Group CO from China, is engaged in the development of investment and investment management, technical transfer, import and export of technology and goods."

https://www.centralamericadata.com/en/article/main/Panama_New_Companies_in_the_SEM_Regime

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New Rules for SEM Companies in Panama

Having a minimum of five full-time permanent employees is one of the requirements that companies must meet in order to obtain a Regional Offices of Multinational Corporations license, if a bill from the Varela administration succeeds.

Friday, July 27, 2018

The bill presented by the Ministry of Commerce and Industries (Mici) to the National Assembly contemplates, among other things, the new conditions that must be met by companies seeking to obtain a license as Regional Offices of Multinational Corporations (SEM by their initials in Spanish). In addition, it details a proposed law reform, under which companies must generate annual operating expenses in the country of at least $500,000.

From a statement issued by the National Assembly:

A bill, whose content base is to make more competitive the special regime for the establishment and operation of Regional Offices of Multinational Corporations (SEM), was presented the Minister of Commerce and Industries (MICI), Augusto Arosemena, in the plenary session.

The head of the MICI estimated that this regulation could increase foreign investment and consolidate Panama's logistics service platform and, at the same time would enable updates to be made which are required by international standards with the introduction of new requirements for obtaining an SEM license.

Read full article (in Spanish).

 

https://www.centralamericadata.com/en/article/main/New_Rules_for_SEM_Companies_in_Panama

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More SEM Companies Arrive in Panama

So far this year, 17 new company licenses have been approved in the country under the Multinational Companies Headquarters regime, a figure that is higher than the 7 that were reported throughout 2018.

Thursday, November 7, 2019

In addition to the 17 companies that already obtained their licenses in 2019, there are 7 other companies that are in the phase of evaluation by the Commission of Headquarters of Multinational Enterprises of the Ministry of Commerce and Industry (MICI).

You may be interested in "New Rules for SEM Companies in Panama"

Tay Lin Chen de Recuero, General Director of Multinational Companies Headquarters of MICI, explained to Prensa.com that "... The amount of investments of the SEM companies, so far in 2019, is estimated at one billion dollars and the generation of more than 3 thousand 93 jobs, between foreigners and nationals."

The article adds that "... The Austrian Doka Group, Complant and JCDecaux are among the business groups that obtained their licenses last month. Between the three transnationals an initial investment of more than 2 million dollars is estimated."

Since 2007, 157 companies have been established in Panama under this type of regime.

 

https://www.centralamericadata.com/en/article/main/More_SEM_Companies_Arrive_in_Panama

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Multinational Companies Law Endorsed

Deputies of the Panamanian Assembly approved in third debate the bill creating the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services related to Manufacturing.

Thursday, August 6, 2020

The services of these multinationals will be able to be developed in different provinces of the country and will work in product manufacturing, equipment machinery, product packaging services, machinery and equipment, the Assembly informed.

Check out the "System for monitoring markets and economic situation in Central American countries", developed by CentralAmericaData.

From the National Assembly's press release:

August 6th, 2020. Multinational manufacturing companies (Emma) operating in the country, in addition to generating economy and employment, will have the task of training Panamanians to promote the hiring of qualified labor.

This is the Bill 355, which creates the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services Related to Manufacturing (EMMA) approved, in third debate, in the National Assembly.

Congressman Ricardo Torres said that the attraction of these corporations gives our country the character and personality of a service logistics center.

He stressed that it enhances Panama's competitive advantages by creating a system of comprehensive incentives (tax, immigration, labor, and customs). But he argued that to be beneficiaries of these conditions, companies must demonstrate that they generate the expected employment.

This regulation establishes as a requirement the creation of technical education centers in Panama for the training of Panamanian staff and training programs with the different universities of our country.

With this provision, Project 355 highlights, the complaint of applicants to positions in these large companies will be ended if they are not trained to the level of the requirements requested for the position.

Torres pointed out that there are more than one hundred companies interested in contributing to the strengthening of the economy, in addition to benefiting more than 10 thousand families.

Project 355 emphasizes that the companies that establish themselves in Panama will have to present to the Technical Secretariat of the Multinational Companies Licensing Commission an annual report containing the statistics concerning their operations within the national territory.

The services of these multinationals may be developed in different provinces of the country and will be performed in product manufacturing, equipment machinery, product packaging services, machinery and equipment.

 

https://www.centralamericadata.com/en/article/main/Multinational_Companies_Law_Endorsed

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Law on Multinational Companies Sanctioned

Panamanian President Laurentino Cortizo, sanctioned the law that creates the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services related to Manufacturing.

Tuesday, September 1, 2020

After the <a href="https://centralamericadata.com/en/article/home/Aval_a_ley_de_Empresas_Multinacionales" target="_blank">deputies of the Panamanian Assembly approved in the third debate last month the bill that aims to promote investments in this context of economic crisis that derives from the outbreak of covid-19, the President of the Executive sanctioned the regulation on August 31, 2020.

The sanctioning of the law took place in the context of a protocolary act that was carried out in the Colon Free Zone (ZLC).

The EMMA Law promotes the establishment of multinational manufacturing, light manufacturing and assembly companies, requiring the direct hiring of labor, promoting job generation and economic growth in the country, post covid-19, details a statement from the ZLC.

The services of these multinationals will be able to be developed in different provinces of the country and will work in product manufacturing, machinery equipment, product packaging services, machinery and equipment.

 

https://www.centralamericadata.com/en/article/main/Law_on_Multinational_Companies_Sanctioned