JAS IN THE AMERICAS

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6195 Barfield Road

Atlanta GA, 30328

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JAS Leverages Strategic Location in Panama

Colón is second largest free zone in the world

By
Angelo Simpson
August 4, 2021
Cargo moving through Panama Canal
Cargo moving through Panama Canal

The Panama Canal revolutionized shipping and world commerce over a 100 years ago. But in 2021, the bicoastal country of Panama is expanding its strategic location by becoming a regional logistics hub. Because it has plenty of competitive advantages for international corporations, it stands apart from other ports in Latin America.

Today, the goals for JAS Panama are clear: to develop its hub-related services in the Central, South American, and Caribbean regions as well as to exponentially grow operations by 2024. This will lead the way to increase the JAS presence in the near future.

The actions JAS Panama has taken over the last six years have been key in getting operations on the right path. JAS Panama has located a better and bigger warehouse at the Colón Free Zone on the Atlantic coast, attracting global accounts to set up their regional distribution hub. This is the case with companies like Ricoh, one of JAS Panama's top local clients. JAS is expanding its Panama cargo consolidation services as well, broadening the reach within the area, taking advantage of the reduced transit times for regional distribution, either from Europe or Asia.  

Over 80 major shipping lines connect Panama with all regional ports. The ports of Atlantic (4,454,902 TEU), and the Pacific (3,161,657 TEU), just an hour apart by land, are the top 2 most active port clusters in LATAM. Using Colón as the JAS Panama hub, the average transit times for inbound and outbound ocean freight cargo improve considerably which allows companies to experience a faster time to market. Panama City’s Tocumen Airport is also the best connected in the region, covering over 100 destinations and 132,000 annual flights.

Moving cargo through Panama’s Free Zone is duty-free for all imports and exports, with the added advantage that income tax is greatly reduced via government incentives. This has led many multinational companies to establish their regional headquarters in Panama, which in turn has created a positive impact for local shipping and logistics industries.

Colón is the second biggest free zone in the world after Hong Kong and its market share continues to grow at a steady pace. A few years ago, the Panama Canal expansion widened its route to accommodate post Panamax vessels. This has provided new avenues for global commerce.  

Following the JAS industry support philosophy, regional clients include companies from varied industries such as telecommunications, computer technology, business solutions, manufacturing, and food & beverage. JAS has also been able to grow within the e-commerce market, putting the company on the map and providing experience that will surely benefit JAS' global operations.

There is a great deal to say about Panama, a “hub of hubs”, as some experts call it, and all its benefits for JAS Worldwide and our ever-growing family of clients.

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Dubai South, the largest urban master development focusing on aviation, logistics, and real estate, has inaugurated the new regional headquarters for JAS Middle East, a global leader in logistics and supply chain solutions.

Dubai South, the largest urban master development focusing on aviation, logistics, and real estate, has inaugurated the new regional headquarters for JAS Middle East, a global leader in logistics and supply chain solutions.

The inauguration ceremony was attended by HE Edoardo Napoli, Consul General of the Republic of Italy in Dubai, Biagio Bruni, Founder & Chairman of JAS Worldwide, Mohsen Ahmad, CEO of the Logistics District, Dubai South, Erwin Wittemaier, Area VP of JAS Middle East, as well as other senior executives from both entities.

Designed to set new benchmarks in sustainability, efficiency, and technological innovation, the 19,170-square-meter ‘Build-to-Suit’ facility marks a milestone in the company’s regional expansion. This ESG-compliant warehouse is tailored to meet specific logistics needs, reinforcing the company’s commitment to growth and excellence while enhancing its ability to serve the entire Middle East market.

The facility will include racked and bulk storage, three temperature-controlled chambers, and 12 loading bays with dock levellers and roller shutter doors. Standing over 14 metres at its apex, it will adhere to the latest firefighting regulations. The office space will span two floors. Additionally, solar panels will be installed on the roof of the facility to offset utility costs and allow the property to achieve ESG credentials.

In his comments, Mohsen Ahmad, said: "We are pleased to attend the official opening of JAS Middle East’s new headquarters at Dubai South. This new facility will cater to the UAE and the wider Middle East region through best-in-class logistics solutions. We are proud to see the Logistics District flourishing with global industry leaders such as JAS, recognising the strategic advantages we offer to support their growth and expansion. With its cutting-edge design and ESG-compliant infrastructure, this facility enhances Dubai South's role in shaping the future of aviation and logistics in the region."

Biagio Bruni said: “This facility is a testament to our focus on innovation, sustainability, and excellent service. We are proud to strengthen our presence in this dynamic region and look forward to continuing to support our customers with tailored and innovative logistics solutions."

Representing the pinnacle of logistical innovation encapsulated within a premier infrastructure network, Dubai South’s Logistics District offers premier services and operations as well as uninterrupted access to Jebel Ali Port via a bonded logistics corridor. The district comprises multiple zones, which have direct access to the cargo terminals at Al Maktoum International Airport; EZDubai, a fully dedicated e-commerce free zone; and a Contract Logistics Zone.

Our Foreign-Trade Zones in the USA and Panama help you mitigate tariffs, manage costs, and stay agile in today’s evolving market.

As a trusted international freight forwarder, we understand the challenges that come with navigating global trade, especially with the recent announcement of reciprocal tariffs. Now, more than ever, it’s crucial for businesses to stay agile and optimize their supply chains. We are excited to offer you strategic solutions through our Foreign-Trade Zones (FTZs) in the USA and Panama to help mitigate tariff impacts and streamline your logistics.

Take Advantage of Our FTZs in the USA

Our FTZs located across the South, East, and West Coasts of the USA offer unparalleled benefits to help you manage costs, build inventory close to your end-consumer, and remain competitive. Here’s why you should consider utilizing these zones:

  • Duty & Tax Deferral: Import goods into the USA without paying duties and taxes when they are admitted to the FTZ. Duties are only paid when goods are entered for consumption  in the USA.
  • Duty Elimination: Goods admitted into zone status and subsequently re-exported from the US Customs territory are not subject to US import duties.
  • Inventory Management: Build up inventory close to your market without worrying about immediate tax and duty implications. This allows you to stay responsive to demand fluctuations, reducing costly delays and speeding up your time-to-market.
  • Reduced Costs: With the current uncertainties around reciprocal tariffs, using FTZs can help shield your goods from excessive duties, offering a buffer against tariff hikes that might otherwise impact your bottom line.
  • Strategic Locations: With our FTZs spread across key US regions, you can strategically position your inventory closer to major consumer markets, allowing for quicker distribution and reducing shipping costs.

Panama as a Key Logistics Hub for the Americas

Additionally, our operations in Panama provide you with access to one of the most important logistics hubs in the Americas. With direct access to the Colon Free Zone and proximity to major shipping routes, Panama offers several advantages for your logistics strategy:

  • Strategic Location: Positioned between North and South America, Panama serves as a gateway to both markets, offering a prime location for distribution throughout the Americas, the Caribbean, and the USA.
  • Colon Free Zone: As one of the largest free zones in the world, the Colon Free Zone offers significant tax and duty exemptions, providing an ideal environment for goods transshipment, warehousing, and re-exportation.
  • Local Expertise: With our own offices and operations in Panama, we have a deep understanding of local regulations and logistics dynamics. We can help you navigate Panama’s benefits seamlessly, ensuring that your goods are efficiently moved through the region.
  • Reduced Tariffs & Import Taxes: Similar to FTZs in the U.S., Panama’s free zones allow companies to store, process, or re-export goods without paying duties or taxes upfront. Taxes and import duties are only due if the goods are eventually brought into Panama for local consumption — otherwise, they can be re-exported tax-free to their final destination.

Why This Matters Now

With the new reciprocal tariffs being announced, it’s critical to find ways to lower your exposure to these increasing costs. Both our USA FTZs and Panama operations provide solutions that allow you to store, manage, and distribute goods with significant cost savings, particularly when facing unpredictable tariff changes.

By leveraging our FTZs and Panama’s logistical advantages, you gain flexibility, efficiency, and a competitive edge in today’s rapidly changing global trade environment.

Let’s Talk!

Our team is ready to discuss how our FTZs in the USA and our Panama logistics hub can benefit your business. Don’t wait—take full advantage of these strategic locations and the opportunities they present during these uncertain times.

Contact us today to learn more or schedule a consultation with one of our experts!

By combining efficiency with eco-friendly practices, JAS ECONTAINER not only reduces environmental impact but also offers cost savings and operational efficiencies, driving meaningful change in the industry and paving the way for a greener future, one shipment at a time.

At JAS, sustainability is a journey we're deeply committed to, and Earth Month serves as an ideal moment to shine a spotlight on initiatives that embody this commitment. One initiative that continues to drive positive change is JAS ECONTAINER, our innovative ocean freight solution designed to enhance operational efficiency while reducing environmental impact. 

Redefining Ocean Freight with JAS ECONTAINER 

JAS ECONTAINER combines the efficiency of headload shipments with eco-friendly practices. This approach has been at the forefront of our efforts for some time now, as highlighted by Vice President, Global Head of LCL, Peter Sinka. 

"In our ongoing journey towards sustainability, JAS ECONTAINER stands as a testament to our commitment to environmental responsibility," says Sinka. "By encouraging frequent replenishment and eliminating the pressure to fill containers to capacity, JAS ECONTAINER helps shippers reduce inventory costs, optimize warehouse space, and mitigate supply chain disruptions." 

The Environmental Imperative 

JAS ECONTAINER isn't just about operational efficiency—it's about driving meaningful change in the industry. Sinka emphasizes the product's positive environmental impact, citing its adoption of Marine Biofuel programs through insetting to achieve a net-zero carbon footprint. 

"Our goal was to create a product that not only meets modern supply chain challenges but also aligns with our commitment to sustainability," Sinka explains. "By choosing JAS ECONTAINER, shippers not only benefit from cost savings and operational efficiencies but also contribute to a greener, more sustainable future." 

A Competitive Edge 

Beyond its environmental benefits, JAS ECONTAINER offers a competitive edge in the market. Sinka notes that the product bridges the gap between traditional LCL and FCL offerings, providing cost-effective solutions for shipments ranging from 20 to 50 CBM. 

"Traditionally, LCL shipments face competitiveness challenges beyond a certain volume threshold," Sinka observes. "JAS ECONTAINER's pricing methodology ensures cost-effectiveness even for larger shipments, making it a preferred choice for shippers seeking optimal value and sustainability." 

Embracing a Greener Future 

As businesses worldwide prioritize sustainability and operational efficiency, JAS ECONTAINER emerges as a catalyst for positive change. Its flat-rate pricing model, strategic consolidation strategies, and eco-friendly initiatives not only drive cost savings but also empower shippers to make environmentally conscious choices. 

"In a world where sustainability and efficiency go hand in hand, JAS ECONTAINER offers a compelling solution," Sinka concludes. "We invite businesses to join us in embracing a greener future—one shipment at a time." 

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