Panama players celebrate after defeating the United States on penalties to reach the Gold Cup final ©Getty Images

Panama set up a Confederation of North, Central America and Caribbean Association Football (CONCACAF) Gold Cup final clash with Mexico after knocking out defending champions the United States on penalties.

Goalkeeper Orlando Mosquera was the hero for Panama in the shootout after both sides were tied at 1-1 after extra time.

The 5-4 win at the Snapdragon Stadium in San Diego means Panama made it to the final of the Gold Cup for the fist time since 2013.

After 90 minutes, both sides failed to score with United States missing the goal by inches as Cade Cowell struck the post in the opening minute.

Ismael Díaz, in great from after his hat-trick in the quarter-final, came close when his shot was saved by American keeper Matt Turner.

Panama finally broke the deadlock in the 99th minute when Ivan Anderson controlled a pass from Adalberto Carrasquilla to beat the charging Turner.

Jesús Ferreira equalised soon with a volley after Jordan Morris headed the ball into the box.

Ferreira was unlucky in the shootout as his penalty was saved by Orlando Mosquera while Cristian Martínez missed one for Panama.

The scores were tied at 4-4 after the first round of penalties, forcing both teams to go at it again.

This time, Cristian Roldán could not find the target while Panama players scored all five, with Adalberto Carrasquilla scoring the decisive one to send his team to the final.

In the other semi-final, Mexico cruised past Jamaica 3-0 thanks to goals from Henry Martín, Luis Chávez and Roberto Alvarado.

Martín bagged the opener in the second minute while Chávez scored a belter of a freekick with 15 minutes to go in the first half.

El Tricolor completed the rout at Allegiant Stadium in Las Vegas when Alvarado bagged a stoppage time goal to secure a spot in the final.