Palau: sanctions and trade risk

No elevated indicator

As of 7 November 2026, the screened UN, EU, UK, Swiss and US sanctions lists contain 4 companies, organisations, vessels and aircraft linked to Palau.Lists last checked 2026-11-07 21:01 UTC.

Logistics profile: ports, airports, customs, documents, holidays, news ↓

No elevated country indicator for Palau in the route rules Sanctioni uses. That is not a clearance: goods may still be export-controlled, and parties in Palau may still be on a list.

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On the sanctions lists

4 entries on the official lists name Palau — as nationality, address, registration or flag. That links them to the country; it says nothing about other companies there. The same company can appear on several lists and is then counted once per list. Individuals are not included — Sanctioni does not process them.

List	Entries	Companies & organisations	Vessels	Aircraft
US OFAC — Specially Designated Nationals (SDN)	4	4	—	—

Latest changes

No new listings or removals naming Palau recorded yet.

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Logistics profile

Palau: logistics and trade

Pacific island state / import-dependent niche market

Palau (ISO code PW) is an island state in the western Pacific in the Micronesia region and a presidential republic. The climate is tropical-maritime with high humidity and a rainy season from July to October. The economy is dominated by tourism, fisheries and services, and the country is heavily import-dependent. Main imports are food, fuel, consumer goods and construction materials, while exports focus on fish products. Foreign-trade logistics run through the Malakal Commercial Port near Koror and the Roman Tmetuchl International Airport (ROR), connected by regional lines to Guam and Asia. Since 1 January 2023 Palau levies a Palau Goods and Services Tax (PGST) of 10 percent, plus a 3 percent import tax on the FOB value of most commercial goods. Customs clearance is handled by the Bureau of Customs and Border Protection via ASYCUDA World. The currency is the US dollar. Palau has maintained a Compact of Free Association with the United States since 1994.

Capital: Ngerulmud
Population: 17,614
Area: 459 km²
Currency: US Dollar (USD)
Continent: Oceania
Region: Micronesia / Pacific
Economic area: Pacific Islands Forum / COFA (USA)
Religions: Christianity
Access to the sea: Yes

Transport modes Sea · Air

Current situation: Heavily import-dependent; sea freight via Malakal/Koror via Guam and Asia (incl. Kyowa, Eurasia Pacific Lines), air freight via Roman Tmetuchl International Airport (ROR).
Seasonal conditions: Rainy season July to October with high humidity; outside the main typhoon belt, but occasionally tropical storms and heavy rain.

Main seaports

Malakal Harbor
Malakal (Koror) is Palau's main commercial port, handling about 200 containers a month via operator BT&TCo, with liner links through Guam.

Main cargo airports

Roman Tmetuchl International AirportROR
Roman Tmetuchl International (ROR), Palau's only airport: belly cargo on United, Asia Pacific Air charters from Guam. Full freight routes via GUM.

Road corridors

Koror-Babeldaob Bridge
Compact Road (Babeldaob)

Main trade lanes

Palau-Guam
Palau-Japan
Palau-Philippines
Palau-China
Palau-USA

Customs and import

Customs authority Bureau of Customs and Border Protection (BCBP), Ministry of FinanceOfficial website ↗

Import customs system: Electronic clearance via ASYCUDA World (introduced 2024) by the BCBP under the Ministry of Finance.
Export customs system: Export processing via the BCBP using ASYCUDA World; low export volumes, mainly fish and re-exports.
Import VAT: PGST 10 percent on import value since 1.1.2023; additionally import duty of 3 percent on the FOB value of most trade goods.
Proofs of origin and trade agreements: Palau has no free trade agreements; preferential origin proofs are not required. Trade runs at standard tariff rates.
Restricted and prohibited goods: Restrictions include weapons, ammunition and narcotics, as well as biosecurity-relevant plants and animals (quarantine); export restrictions for protected marine species.

Typical import documents

Commercial invoice
Packing list
Bill of lading / air waybill
Import customs declaration (ASYCUDA World)
If applicable: biosecurity/quarantine permit

Typical export documents

Commercial invoice
Packing list
Bill of lading / air waybill
Export customs declaration (ASYCUDA World)
If applicable: fishery/species protection permit

Logistics conditions

Customs complexity: Medium
Customs delays: Medium
Dangerous goods relevance: Low
Pharma and cold chain relevance: Low to medium
E-commerce relevance: Low

Trade

Top import partners

United States Japan China Philippines South Korea

Top export partners

Japan China South Korea United States

Top import goods

Food
Fuels
Consumer goods
Construction materials
Vehicles

Top export goods

Fish
Services

Typical cargo

Food
Fuel
Consumer goods
Building materials
Vehicles
Fish (export)

Latest logistics news

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Logistics questions

What import taxes apply in Palau?

Since 1 January 2023 a Palau Goods and Services Tax (PGST) of 10 percent applies to the import value. Most commercial goods also carry a 3 percent import tax on the FOB value; tobacco and alcohol are subject to higher excise taxes.

Who is the customs authority in Palau?

The Bureau of Customs and Border Protection (BCBP) under the Ministry of Finance is responsible. Clearance is handled electronically via the ASYCUDA World system introduced in 2024.

Which ports and airports does Palau use for cargo?

The main seaport is the Malakal Commercial Port near Koror, served by regional lines (including Kyowa and Eurasia Pacific Lines) via Guam and Asia. Air cargo runs through the Roman Tmetuchl International Airport (ROR) in Airai.

Which currency is used in Palau?

Palau uses the US dollar (USD) as its official currency, which removes exchange-rate risk in trade with the US area.

Are there free trade agreements with Palau?

Palau has no classic free trade agreements, and preferential proofs of origin are not required. However, it has maintained a Compact of Free Association (COFA) with the United States since 1994.

Which goods are subject to import restrictions?

Restricted items include weapons, ammunition and narcotics as well as biosecurity-relevant plants and animals subject to quarantine. Export restrictions apply to protected marine species.

Full logistics profile on Freight Academy ↗