EGS Market Intelligence

Americas Manufacturing Market Comparisons

An objective, government-sourced comparison of every major nearshoring destination for manufacturers seeking U.S. market access. Each market is evaluated independently across trade frameworks, tax incentives, labor, logistics, and risk. Select a country for the full profile.

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Quick Comparison Table

CountryUS Trade AgreementFree Zone Corp. TaxFreight to US East CoastRisk Level
Dominican RepublicCAFTA-DR0% / 20 yrs (Law 8-90)2–4 daysLow–Moderate
MexicoUSMCA30% (IMMEX defers duties/VAT only)Land: 1–3d / Sea: 7–14dModerate
Costa RicaCAFTA0% large investors; 6–15% standard7–10 daysLow
HondurasCAFTA0% (new licenses frozen 2024)6–9 daysHigh risk
GuatemalaCAFTA0–10%7–10 daysModerate–High
El SalvadorCAFTA0% (dollarized)7–10 daysModerate
NicaraguaCAFTA0% (free zone; high political risk)7–10 daysVery High
PanamaUS–Panama TPA0% (re-export/distrib. only)5–8 daysLow–Moderate

Sources: U.S. Dept. of State Investment Climate Statements 2024–2025; USTR; PROCOMER/CINDE; Secretaría de Economía México; ILO.

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Complete Guide: Manufacturing in the Dominican Republic – Everything foreign manufacturers need to know about production in DR free zones.

How to Set Up Your DR Free Zone Company – Step-by-step company formation, licensing, and compliance.

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