The Organization for Economic Co-operation and Development (OECD) is analyzing Panama’s potential for the semiconductor industry to make “recommendations and identify regulations and policies” for its development, the Panamanian government reported this Monday.
Panama is one of the countries with which the United States announced a partnership in July 2023 to promote the semiconductor sector and thereby promote a more resilient global chain.
Panama’s Ministry of Trade and Industry (Mici) reported this Monday that a mission of OECD experts visited the country to gather information with the aim of “issuing recommendations and establishing regulations and policies suitable for the development of the semiconductor ecosystem, with particular attention to assembly, testing and packaging”.
“The advancement of this industry in Panama will contribute to the creation of specialized jobs in areas such as design, engineering, production and managementwhich affects employment, local talent development and exports,” Mici added in a statement.
When the partnership between the United States and Panama was announced, it said that both countries would “work closely together to conduct an in-depth assessment of the existing semiconductor ecosystem” in the Central American country, “with the goal of identifying strengths and areas for improvement.
That review would be funded by the International Fund for Technological Security and Innovation, or ITSI Fund, which was authorized under the CHIPS Act of 2022.‘ and that it is “administered by the United States Department of State for the purpose of supporting and encouraging cooperation with countries it considers critical to the semiconductor industry,” according to official information.
The so-called ‘CHIPS Act of 2022’ provides $52.7 billion to subsidize production and strengthen supply chains.
“Panama’s unmatched logistics capabilities, favorable business environment and significant political stability make it an exceptional choice as a center for semiconductor assembly, packaging and testing,” Panamanian President Laurentino Cortizo said in a statement at the time.
The United States considers the domestic production of microprocessors a key issue for its economy and securityespecially because of the great market dominance that China has in this field.
Source: Panama America
I am Jason Root, author with 24 Instant News. I specialize in the Economy section, and have been writing for this sector for the past three years. My work focuses on the latest economic developments around the world and how these developments impact businesses and people’s lives. I also write about current trends in economics, business strategies and investments.
