Founded in 1948, the Colon Free Zone is the second largest free zone in the world after Hong Kong. Strategically located at the Atlantic entrance of the Panama Canal, it offers privileged access to markets in the Americas, Europe, and Asia. Law 412 of 2023 modernized the regime with new benefits and legal stability.
Key Statistics
1948
Founded
US State Dept 2025
1,064 ha
Total Area
US State Dept 2025
1,800+
Companies
US State Dept 2025
Benefits
Complete Tax Exemption
0% tax on import, export, re-export and operations within the zone.
No Capital Gains Tax
Exemption from capital gains tax on sale of shares of user companies.
Tax Incentives
Income Tax
0%Conditions: Income from re-exports
Import/Export
0%Conditions: All merchandise
Dividends (foreign source)
0%Conditions: Re-export activities
VAT
0%Conditions: Services to non-residents
Eligible Activities
- Import and re-export of goods
- Storage and distribution
- Manufacturing and assembly
- Logistics and multimodal services
- International trade
- Call center operations (Law 412)
Establishment Requirements
- Warehouse or premises lease contract
- Certificate of existence from Public Registry
- Copy of company bylaws
- Two commercial reference letters
- Two bank reference letters
- Good standing certificate from ZLC