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The Philippine Economic Zone Authority is confident that more investors from member states of the European Union will establish or expand operations in the country once the Philippines-EU Free Trade Agreement is finalized
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A delegation from the European Parliament Committee on International Trade were on a trade mission this week in line with advancing the PH-EU FTA
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They met with PEZA officials as well as Finance secretary Frederick Go
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Discussions focused on Philippine trade and other related policies alongside the investment landscape and opportunities
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The PH-EU FTA is targeted for completion by 2027
The Philippine Economic Zone Authority (PEZA) is confident that more investors from member states of the European Union (EU) will establish or expand operations in the country once the Philippines-EU Free Trade Agreement (PH–EU FTA) is finalized.
PEZA director general Tereso Panga highlighted the Philippines as a competitive EU partner in the southeast Asian region during a visit by a delegation of the European Parliament Committee on International Trade (INTA) at the PEZA Head Office on February 17.
The visit was part of the committee’s trade mission to the Philippines in line with advancing the PH-EU FTA, PEZA said in a press release.
The delegation also met with Finance secretary Frederick Go on February 18, where they discussed strengthening trade, customs and tax administration in the Philippine, among other areas for boosting ties.
During the meeting, Go assured the INTA delegation of the Philippine government’s strong commitment to concluding the PH-EU Free Trade Agreement within the year to unlock greater trade and economic opportunities.
READ: PH, EU on track to seal free trade pact by 2027
Meanwhile, Panga presented to the EU officials the investment environment, reform development, and strategic advantages of locating within economic zones, and PEZA’s role in supporting export-led and industrial growth.
“What is more encouraging is that even up to 2027, the S&P Global still projected the Philippines as the second -fastest growing economy in Asia pacific… backed by a think tank report that says we can benefit more with EU cooperation with their best fits to the Philippines particularly in Electronics manufacturing, EMS (electronic manufacturing services), and supply chain services, infrastructure, ports, logistics digitalization, and renewable energy development,” Panga said.
“This is a meaningful signal for 2026–2030 planning, as we in PEZA are diversifying our supply chain to strengthen our resilience and stability especially in an increasingly uncertain global environment,” he added.
READ: PEZA targets P300B investment mark
There are currently over 190 locator companies with EU equity in PEZA-accredited ecozones, reaching over P400 billion worth of investments and providing some 430,000 jobs to Filipinos, the agency said.
PEZA top investors by nationality since 1995 include EU member states’ Netherlands (10.28%) and Germany (1.44%).
The 16-member EU delegation was headed by Massimo Santoro, Ambassador of the European Union to the Philippines, and Bernd Lange, chair of the INTA Committee and Head of the Delegation from the Group of the Progressive Alliance of Socialists and Democrats (Germany).
The European Parliament members present included those from Sweden, Romania, Latvia, Spain, Lithuania and Belgium.
Santoro and Lange both expressed strong optimism on the direction of EU–Philippines relations, noting a shared commitment to advancing a more comprehensive, transparent, and policy-based trade framework.
They also noted the importance of the EU’s Generalised Scheme of Preferences Plus (GSP+) as a cornerstone of current economic engagement.
The Philippines is currently the only member of the Association of Southeast Asian Nations (ASEAN) with an active EU GSP+ status since 2014, allowing duty-free entry for over 6,000 products. ASEAN is composed of 11 countries.
PEZA cited that the EU–Philippines trade relationship is currently anchored on the GSP+, which supported €2.2 billion in Philippine exports in 2024 and enabled stronger participation of micro, small, and medium enterprises (MSMEs) in European value chains.
The agency said it remains focused on empowering inclusive participation in global value chains, including the integration of domestic suppliers and MSMEs into export-oriented ecosystems within its ecozones.
Total bilateral trade reached €16.8 billion, underscoring the EU’s importance as a trade and investment partner.
The GSP+ is set to expire in 2027, and both the EU and the Philippines recognize the urgency of concluding the PH–EU FTA to avoid trade disruptions and secure long-term market access.
DTI Secretary and PEZA Board Chair Cristina Roque, who is leading the negotiation with EU, estimates that a successful FTA could unlock up to US$12 billion in additional export potential, particularly by addressing compliance challenges and improving awareness of EU market opportunities.
“We are confident that the finalization of the Philippines–EU FTA will open new opportunities, attracting more European investors to expand and establish operations in the Philippines, create more jobs for Filipinos, boost economic growth, and further strengthen our position as a key investment hub,” Panga said.
