The Dominican Republic: A Strategic Destination for Semiconductor Manufacturing


Dominican Republic

In a global economic landscape marked by the COVID-19 pandemic and geopolitical tensions, the Dominican Republic emerges as an attractive destination for investment in semiconductor manufacturing. With solid economic growth and a conducive environment for foreign direct investment (FDI), the Caribbean nation positions itself as a standout candidate in this high-tech industry, projected to be valued at $1 trillion by 2030.

Government support, especially from the United States government through the CHIPS and Science Act, which has committed significant investments, drives this trend. The Dominican Republic, with its growing business environment, aligns perfectly with this investment momentum.

The modernization of the country’s regulatory and logistical infrastructure, with programs such as “Bureaucracy Zero” and the 24-Hour Customs Initiative, streamlines administrative and import/export processes. Additionally, its participation in key trade agreements such as CAFTA-DR and the economic partnership agreement with the European Union provides preferential access to international markets.

The country also boasts a skilled workforce, supported by recognized educational institutions such as INFOTEP, ITLA, and INTEC, ensuring a constant supply of talent for the electronics industry. This combination of qualified human resources, modern infrastructure, and business-friendly policies positions the Dominican Republic in a privileged position to attract investments in the semiconductor industry and contribute to sustainable economic growth in the region.

Stability and diversification of supply chains are crucial in the current context, and the Dominican Republic emerges as a reliable partner for global companies seeking a new home for their high-tech manufacturing operations. Its stable business environment and Free Trade Zones, housing over 800 companies with substantial exports, make the country an attractive destination for American investment in PCB manufacturing and semiconductor ATP activities.

Policymakers are urged to consider regional partnerships for secure supply chains, leveraging the country’s strong economy, driven by FDI, and supported by favourable policies and a strategic position.

In line with its commitment to strengthen its regulatory environment, the Dominican Republic implements the “Bureaucracy Zero” program, simplifying administrative processes, promoting digitalization of services, and improving regulatory quality. Law No. 16-95 addresses relevant legal and fiscal matters for foreign investment, establishing a territorial tax regime and ensuring favourable treatment for investors.

In summary, the Dominican Republic emerges as an attractive and strategic destination for semiconductor manufacturing, backed by its robust economic growth, modern infrastructure, pro-business policies, and skilled workforce.

At Feliu N&I, we are ready to assist those interested in investing in this promising sector in the Dominican Republic, contact us!

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