The Parliament of the Republic of Latvia approves amendments to the Law "On the Application of Taxes in Free Ports and Special Economic Zones"

In the new wording of the Law "On the Application of Taxes in Free Ports and Special Economic Zones" as approved by the Saeima, a number of provisions have been incorporated, which in the future could promote operation of Liepaja SEZ companies, attract new investors, and reduce competition with other special economic zones in the Baltic Sea Region.

The most essential amendments:

· Extension of the eligibility deadline of expected salary costs until December 31, 2035 (up until now - December 31, 2024). This will allow Liepaja to attract a qualified and well-paid workforce.
· Further on, tangible assets may also be purchased through financial lease.
· Further on, shipbuilding industry and the synthetic fiber industry will also be supported within the framework of the law.

The Law on Liepaja Special Economic Zone stipulates that the Liepaja SEZ was established with the aim of developing and promoting trade, industry, shipping, and air traffic, as well as international exchange of goods through Latvia. Its task is to attract investments for the development of production and infrastructure and creation of new jobs in Liepaja.

In the period from 1997 when the Liepaja Special Economic Zone was established up until 2023, the Liepaja SEZ companies have invested ca. 403 million euros by building their manufacturing facilities, warehouses etc. or purchasing equipment, machinery, and
modern technologies.

In 2023, the Liepaja Special Economic Zone Authority concluded 15 investment agreements with the capital companies of the Liepaja SEZ, the total planned investment amount of which is 5,481,903.28 euros.

In 2024, the Liepaja SEZ Board approved 5 investment projects for the total planned investment amount of 4.390 million euros.