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Panama and Dubai are often described the same way: small places with an outsized role in world trade. Panama links the Atlantic and the Pacific through its canal and serves as a gateway to Latin America. Dubai links the Gulf with Africa, South Asia and Europe. For importers, exporters and distributors, the real opportunity is not choosing one — it is learning how the two can work together.
Two gateways, two regions
Panama’s strength is its position at the centre of the Americas. The Panama Canal connects shipping routes between both oceans — see our report on the canal’s fiscal year 2026 — and the country’s ports and logistics parks serve as a redistribution point for the region. Dubai plays a similar role for its own neighbourhood: goods arrive, are stored or repackaged, and then move on to markets across the Gulf, Africa and Asia.
A trade relationship that is growing
The link between the two markets is still small but rising fast. Non-oil trade between the UAE and Panama reached $186 million in 2025, up 49.7% from 2024, according to figures reported by Dubai Eye from the Emirates News Agency. In June 2026, UAE Foreign Trade Minister Dr. Thani bin Ahmed Al Zeyoudi led a delegation to Panama City for talks with ministers, business leaders and Panama Canal officials, and toured the canal and the Panamá Pacífico special economic area. Reports of the visit describe discussions on logistics, technology, renewable energy and other sectors, not a signed agreement.
Free zones on both sides
Both hubs rely on free zones. In Panama, the Colón Free Zone sits at the Atlantic entrance of the canal and has long been used for regional re-export. In Dubai, the Jebel Ali Free Zone sits next to the port of Jebel Ali, and the emirate has many other free zones focused on specific sectors. For a trading company, a free zone on each side can make it easier to hold stock close to customers and ship onward without delay. Each zone has its own rules and permitted activities, so confirm them before you plan your route.
Air links matter too
Not every product travels by sea. Tocumen International Airport in Panama is the hub of Copa Airlines and connects many cities in the Americas. Dubai is served by two international airports, Dubai International (DXB) and Al Maktoum International (DWC). For samples, spare parts and high-value goods, these air connections can matter as much as the ports.
One currency logic
Panama uses the U.S. dollar, and the UAE dirham is pegged to the dollar. That makes pricing, invoicing and planning between the two markets simpler than between many other trade partners, although bank fees and transfer times still need to be checked with your bank.
Working across nine hours
Dubai is nine hours ahead of Panama, and neither changes its clocks during the year. A logistics team in Panama can hand over to a team in Dubai at the end of the Dubai day, so shipments and customer questions can be followed up for more hours of the day.
Questions to ask before you start
- Which markets do you want to reach from each hub?
- Will you hold stock in a free zone, or ship directly to customers?
- Which documents, certificates and labels do your products need in each market?
- Who will manage customs, insurance and local delivery on each side?
Planning to set up a company in Dubai as well? Start with our step-by-step checklist for expanding from Panama to Dubai.
Bottom line
Panama and Dubai are natural partners for companies that trade between the Americas and the Gulf. Map your products, your customers and your route first, then choose the free zones and partners that fit. Want to reach business readers in both markets? See our advertising plans.
This article is general information, not legal, customs or tax advice. Rules differ by product and country; check with a licensed customs broker or adviser before shipping.
