Shipping guide · Americas

Shipping from China and Hong Kong to Panama

Panama is less a destination market than a redistribution platform. The Colon Free Zone is the largest free zone in the Americas, and a very large share of what arrives from Asia is not staying in Panama at all.

Talk to us about Panama

Customs authority: Autoridad Nacional de Aduanas
Free zone: Colon Free Zone, the largest in the Americas, outside the customs territory
Import tax: ITBMS, standard rate 7 percent, on goods entering the national market
Currency: The US dollar circulates alongside the balboa, simplifying settlement
Role: Redistribution and transhipment hub for Latin America and the Caribbean
Main entry points: Balboa and the Colon area terminals by sea, Tocumen by air

That distinction changes how an import should be structured. Goods brought into the free zone are not formally imported into Panama, so duty and tax do not apply while they sit there. They can be stored, consolidated, relabelled and re-exported to the rest of Latin America, and only the portion that actually enters the Panamanian market pays duty.

For a company testing several Latin American markets, or serving many small buyers across the region, that structure is genuinely useful. It replaces a series of separate imports into difficult jurisdictions with one movement into a well connected hub.

The canal and the ports on both sides of it give Panama connectivity that no other Central American country has. Balboa on the Pacific and the Colon area terminals on the Caribbean both handle major Asian services, and the country works as a transhipment centre as well as a free zone.

Where cargo lands

Main freight and distribution centres

Colon

The free zone itself, on the Caribbean side, with the largest concentration of warehousing and redistribution activity in the region.

Panama City and Balboa

The commercial capital and the Pacific port, with the national market and the main air gateway.

Panama Pacifico

A special economic area near the canal, used for logistics and light manufacturing operations.

Sea freight

Ports of entry and what they mean for your cargo

Balboa

The main Pacific terminal at the canal entrance, handling major Asian services and transhipment traffic.

Colon area terminals

Manzanillo, Cristobal and the surrounding facilities on the Caribbean side, next to the free zone and central to regional redistribution.

Transhipment role

A very large share of the volume passing through Panama is transhipment for other Latin American destinations rather than local import.

Panama has the best maritime connectivity in Central America, on both oceans, which is precisely why it works as a distribution base rather than only as a market.

Canal transit conditions have been affected by water levels in recent years, with restrictions on draft and slot availability at times. It has not changed Panama role, but it is a variable worth confirming for schedule critical cargo.

Cargo can be brought into the free zone, held, and released into the Panamanian market or re-exported in smaller lots. Structuring the movement that way from the beginning is far easier than converting it later.

Air freight

Airports and when air is the right answer

Tocumen (PTY)

The main air hub for Latin America, with the widest regional connectivity and full cargo facilities.

Panama Pacifico (BLB)

Secondary airport used for cargo and charter operations near the canal area.

Tocumen regional connectivity makes Panama a practical air distribution point for Latin America, not only a sea one.

Air freight from Asia arrives via a hub, so the transit is longer than for a direct market, but the onward regional distribution from Panama is quick.

Indicative transit times

How long the movement usually takes

Sea FCL, South China to Balboa or ColonAround 24 to 34 days port to portGood direct service availability given the canal position.
Sea LCL, South China to PanamaAround 34 to 46 days door to doorConsolidation and deconsolidation add time at both ends.
Onward regional distribution from the free zoneAround 3 to 12 daysDepending on the destination country and mode.
Air freight, Hong Kong or South China to Panama CityAround 6 to 10 days door to doorVia a hub, including handling and clearance.

These ranges are indicative and exist to help you plan. Real transit time depends on the service, the season, the routing and the clearance itself, and we confirm it per shipment rather than publish it as a promise.

Customs

How clearance into Panama actually works

The competent authority is Autoridad Nacional de Aduanas de Panama.

Goods entering the Colon Free Zone are not imported into Panama for customs purposes. No duty or ITBMS applies while they remain in the zone, and only the goods that leave the zone into the national market are formally imported and taxed.

That makes Panama structurally different from a normal destination. The relevant question is not what duty applies, but whether the goods are entering the market or passing through.

For goods that do enter the national market, ITBMS at 7 percent applies alongside duty based on the tariff classification. Panama duty rates are moderate by regional standards.

Because the US dollar circulates, settlement and pricing are simpler than in most of the region, which is part of why so many companies use Panama as a regional base.

Operating in the free zone requires registration with the zone administration, which is a straightforward process by regional standards but still has to be done in advance.

Documentation

What you need to have ready

Commercial invoice

Value, terms and a clear description consistent with the transport document.

Packing list

Piece counts, weights and dimensions per package.

Bill of Lading or Air Waybill

The transport contract and the release instrument.

Free zone registration

For companies operating in or through the Colon Free Zone.

Free zone movement documentation

Covers entry into, storage in and re-export from the zone.

Import declaration

Only for goods that actually enter the Panamanian national market.

Certificate of origin

Relevant for onward movements where the destination country applies preferences.

Product specific certificates

Health, sanitary or dangerous goods documentation depending on the cargo.

Controlled and restricted goods

What gets stopped, and why

Counterfeit enforcement is a recurring theme in the free zone, given the volume of branded goods passing through. Legitimate importers should be able to evidence their supply chain.
Food, health products and cosmetics require approval from the Panamanian health authority before entering the national market.
Goods re-exported from the zone must satisfy the requirements of the destination country, which is where the certificate of origin question usually arises.
Dangerous goods have their own handling requirements at both the ports and the zone facilities.
Wood packaging must comply with ISPM 15.

Working with Velonex

What clients usually bring us in for on this lane

Companies serving several Latin American markets who would be better off with one movement into the free zone and regional distribution from there, rather than separate imports into each country.
Testing a regional market without committing to a full import into a difficult jurisdiction, using the zone to hold stock duty free until it is actually sold.
Consolidation and relabelling in the zone, so goods arrive in each destination country in the form that country requires.
Cargo that needs both oceans, where Panama position gives options that no other Central American country offers.
Schedule critical shipments where canal transit conditions need confirming rather than assuming.

Get a quote

Tell us what needs to move to Panama

We listen before we quote. Share the cargo, the deadline and the constraint, and we will come back with a route that accounts for all three, the documents it will need and a timeline we can stand behind.

Your details

Includes your name, company name and email address

Shipment route

Includes your pickup location and destination

Cargo type

Includes the type of cargo you are shipping

Special requirements

Includes a short note about your challenge

Timeline

Includes your desired timeline

Your quote

A tailored response based on everything above

Corporate logistics partner

Trust, clarity and operational follow through for complex cargo.

Not ready for a quote? Email info@velonex-hk.com or message us on WhatsApp with the question and we will answer it.

Sources

Where this information comes from

General guidance, last reviewed August 2026. Customs rules and product requirements change, and the treatment of any specific shipment depends on its classification, origin and value. Confirm the detail with us or with the authority before you commit to a movement.

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