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The US Trade and Development Agency announced funding for technical assistance to develop the Subic-Clark-Manila-Batangas Railway, a proposed 132-mile line connecting three of the Philippines’ most critical ports
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USTDA said it is partnering with the Department of Transportation to provide technical expertise related to transportation modeling, port-rail integration analysis, and legal and institutional planning
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The SCMB Railway will also generate significant US export opportunities, particularly by providing secure high-tech rail technologies, equipment, and services
The US Trade and Development Agency (USTDA) announced funding for technical assistance to develop the Subic-Clark-Manila-Batangas (SCMB) Railway, a proposed 132-mile line connecting three of the Philippines’ most critical ports.
The railway is envisioned to be the backbone of the Luzon Economic Corridor (LEC), which aims to accelerate critical infrastructure investment and drive economic transformation in the Philippines, the USTDA said in a statement.
The governments of the Philippines, the US, and Japan in April last year announced plans to develop the LEC to support connectivity between Subic Bay, Clark, Manila, and Batangas by accelerating coordinated investments in high-impact infrastructure projects, including rail; ports modernization; clean energy and semiconductor supply chains and deployments; and agribusiness to further connect and drive economic growth in each hub.
“This project underscores the US-Philippines alliance’s vital role in maintaining a free and open Indo- Pacific region,” said USTDA acting director Thomas Hardy.
He added: “By supporting the development of the SCMB Railway, we are ensuring that key infrastructure will flourish, increasing economic cooperation to develop an essential trading route that will mutually benefit American and Philippine citizens. Our partnership with the Philippines exemplifies the strength of American leadership in the Indo-Pacific and underscores our commitment to advancing our shared interests.”
Special Assistant to the President for Investment and Economic Affairs Frederick Go, for his part, said they are “grateful for the support in advancing this crucial infrastructure project, which will drive economic growth by improving connectivity between major ports and industrial hubs along the Luzon Economic Corridor.”
USTDA said it is partnering with the Philippines’ Department of Transportation (DOTr) to provide technical expertise related to transportation modeling, port-rail integration analysis, and legal and institutional planning.
The project’s preparation work will help mobilize financing for the railway’s implementation by addressing Asian Development Bank lending requirements, the USTDA noted.
The SCMB Railway, it added, will also generate significant US export opportunities, particularly by providing secure high-tech rail technologies, equipment, and services. Virginia-based The Cadmus Group LLC will conduct the assistance.
The SCMB Railway will also decentralize port activity, ease freight congestion, and enable potential passenger services in the future. The project complements broader efforts under the LEC to enhance connectivity and economic resilience across key logistics hubs, alongside contributions from regional allies and partners like Japan.
During the Beneficiary Agreement signing ceremony in Arlington, Virginia on June 26, Transportation Secretary Vince Dizon said the SCMB Railway “will not only decongest the Manila Port but will also connect the seaport to Subic Bay and Batangas Port.”
“As a freight cargo railway, the SCMB Railway, is seen to solve port traffic and congestion in Manila Port, while ensuring the timely movement of products to and from adjacent major transport hubs,” Dizon added.
