The Cabinet authorized the Minister of Commerce and Industry to submit to the Assembly a bill to create the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services Related to Manufacturing.

The decision of the Executive, which seeks to reactivate the economy in the context of the health and economic crisis generated by the outbreak of covid-19, was made official through the publication in the Digital Official Journal, in Cabinet Resolution No. 26 of April 21, 2020.

Ramón Martinez, Minister of Trade and Industry, told Prensa.com that “… this project seeks to emulate the successful scheme of the Multinational Company Headquarters (SEM) regime, but focused on an economic sector that could have a high impact on job creation and the transfer of technological knowledge.”

Martinez added that “… Under this new tax regime would be the activities related to manufacturing, assembly, remanufacturing, conditioning, maintenance and repair of products, in addition to logistics services, among others. These companies may be established in a special economic area, in the Colon Free Zone, in free zones or in a customs control and surveillance area.”

The official said that companies under the license of the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services Related to Manufacturing (Emma), will automatically enjoy the guarantees established by Law 54 of 1998 on the legal stability of investments, regulated by Executive Decree 9 of 1999.