The ambassador of Panama to the United States, Emanuel González-Revilla, talked about what his country has to offer in terms of business opportunities during the annual luncheon of the Pan-American Association of Philadelphia April 16 at the Union League. Gónzalez-Revilla also talked about the accomplishments of the 7th Summit of the Americas, which took place in Panama City, April 10-11, during which President Obama met with Cuban President Raul Castro. However, the political and commercial ties between the U.S. and Panama were the central topic of Gónzalez-Revilla’s speech. 

[node:field_slideshow]

“Today Panama stands as one of the most stable nations in the Western Hemisphere, politically, economically and in terms of security,” González-Revilla said. 

Panama is the second most competitive economy in Latin America after Chile, according to the Global Competitiveness Report of the World Economic Forum.

The ambassador shared numbers about his country in relation to the United States and the Philadelphia region.

In 2014, the United States was Panama’s main trading partner, while Panama was the United States 45th largest trading partner. 

Panama imported $10.4 billion dollars from the United States and exported $400 million. 

The United States accounts for 17 to 18 percent of foreign direct investment in Panama.

That same year, Pennsylvania exported close to $80 million to Panama, making the Keystone State the 15th largest exporter to Panama in the United States.

“Currently there are more opportunities to strengthen commercial ties between our two nations,” said Gónzalez-Revilla.

The ambassador emphasized the Trade Promotion Agreement (TPA) which has been in place since 2012, and which allows over 87 percent of industrial goods exported from the United States to Panama to enter the country without paying any duty. This includes information technology equipment, agricultural and construction equipment, aircraft and parts, medical and scientific equipment, environmental products, pharmaceuticals, fertilizers, and agro-chemicals. 

Additionally, Panama is also recognized for having the best infrastructure in Latin America, according to the Global Competitiveness Report of the World Economic Forum.

Gónzalez-Revilla referred to the Panama Canal as the most valuable asset in maritime transportation in the world. He added that 69 percent of the cargo that transits the Canal originates or is destined for the United States. With the completion of the Canal expansion early next year the number is expected to grow to 80 percent. 

“The expansion is also having a ripple effect on the U.S. economy, which has seen a need to invest heavily on its own infrastructure, mainly on the East Coast and the Gulf to accommodate for the larger ships that are now going to be able to go through the Panama Canal,” Gónzalez-Revilla. “The additional canal lane will double the cargo capacity of the current operation. It will be able to accommodate 99 percent of all containerships that are sailing the oceans of the world.”

Once the expansion is completed, the largest vessel that will be able to transit the canal will be able to carry more than three times the current maximum capacity. 

Panama’s marine port system is complemented by the Panama Canal Railway, “the only railway in the world that can move goods from one ocean to the other in less than two hours,” said Gónzalez-Revilla.

Additionally, the Colón Free Trade Zone is the second largest free trade zone in the world after Hong Kong.

Gónzalez-Revilla added that the government is planning a $20 billion infrastructure investment over the next five years.

Regarding the 7th Summit of the Americas, and the meeting between Obama and Castro, Gónzalez-Revilla said that “beyond the breathtaking diplomatic opportunity that the thaw between Cuba and U.S. relations presents, there is so much more achieved and discussed that deserves our attention.”

The ambassador talked about the accomplishments in Latin America since the first Summit of the Americas took place in Miami in 1994.

“Over the last 20 years the political and institutional progress in the region has been remarkable. Many countries have experienced tremendous economic growth that has helped reshape the social spectrum,” said Gónzalez-Revilla. “However this prosperity has not been sufficiently and broadly shared by our people.”

The theme of the summit this year was “Prosperity with Equity: The Challenge of Cooperation in the Americas.”

“Collaboration between public institutions and private sector becomes a crucial necessity in order to achieve prosperity with equality in our region,” Gónzalez-Revilla said.

For the first time in the history of the summit, Panama hosted an education summit, a CEO summit, a civil society summit, and a youth summit in concert with the summit of world leaders. 

Investing in infrastructure, strengthening commerce, lowering trade barriers, democratizing financial markets, empowering entrepreneurs, and maximizing the potential of natural resources, were among the recommendations that emerged from the CEO summit.

Investing and strengthening access to education, creating programs and job opportunities in conjunction with the private sector; increasing cooperation between universities and the private sector, were among the recommendations of the leaders of participating countries in order to promote political stability in the region.