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The Philippine Economic Zone Authority is encouraging US firms to continue exploring investment opportunities in the country as it highlights the government’s initiatives to improve logistics and infrastructure
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PEZA chief Tereso Panga presented updates on their projects and plans at a recent logistics forum
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Panga noted that investors are taking advantage of the Luzon Economic Corridor designed to boost connectivity among Subic Bay, Clark, Manila, and Batangas
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PEZA said the Philippines is targeting about $100 billion in investment deals from the US and Japan in sectors such as manufacturing, clean energy, agribusiness, rail, and port infrastructure development
The Philippine Economic Zone Authority (PEZA) is encouraging US firms to continue exploring investment opportunities in the country as it highlights the Marcos administration’s initiatives to improve logistics and infrastructure.
PEZA director general Tereso Panga outlined the country’s logistics and infrastructure projects, as well as the agency’s complementary plans and programs, at the recent Future of Logistics 2024 forum organized by the American Chamber of Commerce of the Philippines, Inc., in partnership with Santos Knight Frank and Aboitiz InfraCapital.
PEZA said that amid a bullish outlook for the coming years, the Philippines is seizing unique opportunities to position itself as a prime investment destination in the region. These opportunities include the China+1 strategy, the US CHIPS Act, and the US-Japan-Philippines trilateral agreement.
“We also see our investors taking advantage of the upcoming Luzon Economic Corridor which will support connectivity among Subic Bay, Clark, Manila, and Batangas as well as facilitate strategic, anchor investments within each hub in high-impact infrastructure projects among others,” said Panga.
READ: US, PH, Japan launch Luzon Economic Corridor Steering Committee
At the forum PEZA announced the Philippines is targeting about $100 billion in investment deals from the US and Japan in sectors such as manufacturing, clean energy, agribusiness, rail, and port infrastructure development.
“When we have robust GDP growth, we attract more investments! This has been our country’s status for 2-3 years in a row and where in PEZA, we see a corresponding increase in our annual ecozone investments since 2022, achieving a six-year high in 2023 to P175.7 billion,” Panga said, highlighting the country’s high GDP growth among ASEAN nations.
“We cannot pass up on the current developments and opportunities in ally-shoring as the Philippines is still in the sweet spot for attracting investments into the country,” added Panga.
The economic zone authority said it “remains bullish” in increasing more than 300 companies with American equity in the country to bring more investments and increase job generation for Filipinos.
The PEZA chief also noted the inclusion of Ecozone Logistics Service Enterprises in the new Strategic Investment Priorities Plan, which allows more logistics companies to support new investments, particularly within ecozones.
“If we can grow the number of our locator companies, all those in the supply chain, logistics, and others will benefit from it. PEZA is the microcosm of the bigger economy. If we see ecozones flourishing, we can also see a more vibrant economy,” Panga said.
Panelists from both the public and private sectors acknowledged the need for further improvements.
Semiconductor and Electronics Industries in the Philippines Foundation, Inc. – Association of Logistics Managers Chairperson, Wilda Calderon, stressed the importance of easing business processes, especially in government. Quantity Solutions President and CEO, Engr. Rynor Jamandre, called for addressing “fragmented government policies” to solve business challenges.
PEZA responded they are implementing several strategies to overcome supply chain, industrial, and logistics sector challenges.
These strategies include automating systems and processes, creating an off-dock container yard, developing logistics parks, and enhancing partnerships with the Bureau of Customs. PEZA is also engaging with lawmakers to amend investment laws and update outdated regulations.
