Panama is one of the fastest-growing economies in Latin America. The United States exported a record $570.6 million in agricultural products to Panama during the 2013 fiscal year. Top exports included soybean meal, wheat, dairy and processed food products.
The U.S.-Panama Trade Promotion Agreement entered into force on October 31, 2012, granting U.S. exporters immediate duty-free treatment on products accounting for more than half of current trade. Tariffs on most remaining agricultural products will be phased out within 15 years. Moreover, the two countries signed a far-reaching agreement on sanitary and phytosanitary (SPS) measures and technical standards that eliminated long-standing regulatory barriers faced by a variety of U.S. products in the Panamanian market.
The new trade agreement, combined with 2014 completion of the Panama Canal expansion project, points to strong future trade and economic growth in Panama.