Panama City, December 12, 2024. Panama hosted the Eighth Meeting of the Informal Semiconductor Exchange Network (SIEN) of the Organization for Economic Cooperation and Development (OECD), which was held from December 10 to 12.
Senior government officials, private sector representatives, and national and international experts gathered at the Panama Convention Center to share key information about the semiconductor market and coordinate related policies. The main objective of this event was to develop joint strategies that strengthen the resilience of semiconductor value chains through international collaboration, a critical aspect of managing the sector’s risks and ensuring sustainable access to these technologies critical to the modern economy. The event was attended by representatives from 30 countries.
Guy Lalanne, Senior Economist at the OECD’s Directorate for Science, Technology and Innovation, highlighted the importance of the meeting in Panama for the exchange of information on the semiconductor ecosystem among the participating countries, especially for policymakers, as governments must build their capacities and thus increase resilience and transparency in the semiconductor sector.
Panama’s strategic leadership in semiconductors
The choice of Panama as the venue for this event underscores the country’s progress in the implementation of its National Strategy for Microelectronics and Semiconductors, led by the Ministry of Commerce and Industries (MICI) and the National Secretariat of Science, Technology and Innovation (Senacyt).
Dr. Eduardo Ortega Barría, National Secretary of Science, Technology and Innovation, said: “Panama recognizes the transformative power of critical and emerging technologies in shaping the global economy and society. Today, as throughout our history, Panama remains committed to reaffirming its position, key to world trade, as an international facilitator of dialogue and a true gateway to the Americas.”
In his speech, the highest authority of Senacyt expressed his gratitude to the United States for its decision to include Panama among a select group of nations selected to receive its support to play a fundamental role as a strategic partner in the security of the semiconductor supply chain.
For his part, the Minister of Commerce and Industries of Panama, Julio Moltó, mentioned: “This event has been much more than a technical meeting; it has been a demonstration of the collective will to consolidate a global semiconductor industry that benefits everyone, mainly the countries that we have committed to take a step into the future, such as Panama. That is why this initiative has been a stark reminder that international collaboration is essential to achieving our goals.”
The national strategy is based on four fundamental pillars:
- Human Talent Development: Senacyt, the Technological University of Panama (UTP), the University of Panama (UP), the Higher Technical Institute of the East (ITSE), the Santa María La Antigua University, the Ministry of Education, the Ministry of Labor and Labor Development, the National Institute of Vocational Training and Training for Human Development, Cenamep AIP and other institutions are promoting training in advanced technologies with projects such as the Center for Advanced Semiconductor Technologies (C-TASC) and professional training programs at undergraduate, technical and graduate levels.
- Strengthening the business ecosystem: Through programs to stimulate technological entrepreneurship, the generation of international alliances, the creation of the National Commission of Microelectronics and Semiconductors, the appointment of a national commissioner, and an international promotion campaign that will include missions, promotion on social networks, and presence in forums, fairs and international events, Panama will seek to position itself in the global chain in the coming months.
- Infrastructure and legal framework: The Panamanian government has identified the need to conduct a thorough analysis with the industry to determine whether it will be necessary to strengthen the legal framework to protect intellectual property, facilitate the migration of specialized talent, and develop specific infrastructure for the semiconductor sector.
- Security: The strategy incorporates a robust approach to security, balancing immigration incentives with controls that allow talent to be attracted without compromising national security. Regulations are also established to protect confidential data, assess geopolitical risks and strengthen cybersecurity, ensuring a reliable environment for innovation and technology transfer.
Background
In July 2023, the U.S. Department of State announced a partnership with the Government of Panama to explore opportunities to expand and diversify the global semiconductor ecosystem. This collaboration is part of the International Fund for Security in Technology and Innovation (ITSI Fund), established by the CHIPS and Science Act of 2022 that aims to diversify and strengthen global semiconductor supply chains, with an allocation of $500 million for projects in key allied countries.
The holding of the Eighth SIEN Meeting in Panama not only reinforces the country’s strategic importance in the region, but also aligns with the ongoing collaboration between Panama and the United States under the ITSI Fund.
Panama has been recognized for its strategic location and logistics capacity as a crucial partner in building a more resilient and secure value chain. The SIEN meeting was an opportunity for international players to learn more about the country’s potential as a hub for critical activities in the sector, from logistics to assembly, testing and packaging activities.
In addition, this event allowed Panama to demonstrate its efforts to strengthen its technological ecosystem, including initiatives such as the C-TASC, the improvement of human talent in STEM areas, and the strengthening of the infrastructure necessary to attract high value-added investments. The collaboration with the United States under the ITSI Fund and the choice of Panama as the headquarters of the SIEN are proof of the country’s commitment to consolidate itself as a key player in the global semiconductor ecosystem.
Dr. Elida de Obaldía, a researcher at the Vice-Rectory for Postgraduate Research and Extension of the Technological University of Panama, mentioned that the meeting held in Panama is “a milestone” because it puts Panama on the map of countries that are interested in being part of the semiconductor supply chain “and validates the human talent that we are developing at UTP and other universities in the country.”
“The C-TASC that we are developing as a Public Interest Partnership (AIP) is connected to the UTP. It is part of what we want to promote, not only from the focus of the capacity of human talent, but also as the research and development arm of the companies that are established in Panama, including the technology companies that are born here. That is one of the impulses that we want to carry as an incubator of semiconductor and microelectronics technologies in Panama.”
