Philippines is emerging as a preferred investment destination

Manufacturers relocate to the Philippines amid China concerns

The Star (Malaysia)
26 March 2025

MANILA: The Philippines is emerging as a preferred destination for companies seeking to diversify their supply chain beyond China, amid a new Trump trade policy imposing a 20% tariff on all imports from the world’s second-largest economy.

“This is the affirmation we got particularly from Chinese and multinational investors that attended the Philippine-China investment meetings in Xiamen, Chongqing, Shenzhen and Dongguan,” Philippine Economic Zone Authority (Peza) director general Tereso Panga said in a statement.

Panga said that as the “China+1 strategy” had evolved into “China+1+1”, the Philippines is now emerging as the preferred “plus one” in South-East Asia.

He acknowledged that Vietnam had initially stood out among its regional peers due to its shared border with and proximity to China.

The resulting global supply chain diversification has become more pronounced with the imposition of additional tariffs by the United States on goods from China, Mexico and Canada, he said “Certainly, this has put pressure on export manufacturers in China to shift parts of their supply chains and production processes away from China’s factory hubs and into new investment hot spots in the region, other than Vietnam and Mexico, to mitigate the impact of US tariffs directed at Chinese imports,” said Panga.

During the investment forum in Xiamen, from March 17 to 21, Panga said several Chinese small and medium enterprises expressed an interest to establish operations at Peza economic zones.

“Other than exporting to the United States, they want to sell their finished products to the domestic market,” he said.

These firms include TE Connectivity, a leader in connectors and cables for digital data networks, along with Bocheng Rubbers, Panhua Steel and HYS Metal Plastic.

Pangas said that the Peza board had recently approved TE Connectivity’s 1.7 billion peso investment for the production of electro-optical components and devices, which is expected to create more than 2,000 direct jobs. — The Philippine Daily Inquirer/ANN

PH among fastest-growing economies in Southeast Asia – Moody's

PH among fastest-growing economies in Southeast Asia – economist

By Anna Leah Gonzales
Philippine News Agency
March 26, 2025

MANILA – The Philippines is one of the fastest-growing economies in Southeast Asia this year, an economist from Moody's Analytics said Wednesday.

"I think Philippines kind of stands out as one of the fastest growing economies in Southeast Asia. And really a lot of that is coming from the strength, from its domestic economy, given that it's, you know, highly reliant on its private consumption," economist Sarah Tan said in a virtual briefing.

Tan said Moody's Analytics expects Philippine economic growth to accelerate to 5.9 percent this year from 5.6 percent in 2024.

For next year, Moody's Analytics said the Philippine economy is projected to grow by 5.8 percent.

"While the expected growth is shy of the government’s target, it will mark the strongest expansion in three years. Private consumption and investment will be the key driver of growth in the Philippines, supported by a stable inflation and easing monetary policy," said Tan in a separate emailed statement.

Inflation is projected to continue to decelerate and stay within the government’s target range, settling at 2.8 percent in 2025 and 3 percent in 2026.

Tan, meanwhile, said the Bangko Sentral ng Pilipinas (BSP) "faces a tough balancing act to maintain price stability and economic growth."

"Progress on the inflation front supports the case for more rate cuts," she said.

Tan however noted that as US tariffs could slow global demand and the pace of interest rate normalization, the BSP will be more cautious about monetary easing to avoid significant weakening of the peso.

"In our latest baseline, we expect the BSP to bring the policy rate lower by 50 basis points to 5.25 percent by the end of 2025," said Tan.

Tan meanwhile said the main challenge would come from external conditions.

"The threat of more US tariff hikes and the potential for slower global interest rate normalization creates uncertainty in global demand. That will hurt the Philippines' exporters and industrial producers," she said. (PNA)

PH passport one of the world's most aesthetic

Philippines makes it in list of ‘most aesthetic’ passports in the world

John Patrick Magno Ranara
Philippine Star
26 March 2025

Here's one reason to flex your Philippine passport the next time you travel: It's among the most aesthetic passports in the world.

Hypebeast, a Hong Kong-based company focusing on contemporary culture and lifestyle, included the Philippines in their list of what they regard as some of the most eye-pleasing passports.

In the caption, they highlighted the "iconic Philippine eagle" design on the flip cover of the passport.

"From Norway’s UV-reactive landscapes to Japan’s ukiyo-e art, the Philippines’ iconic Philippine eagle, New Zealand’s sleek black cover, and more—these passports set the bar for design," Hypebeast said.

Other passports that made it to the list include Norway, Canada, Hong Kong, Japan, Finland, New Zealand, Hungary, and Belgium.

There are three types of Philippine passports issued by the Department of Foreign Affairs. The regular one is colored maroon and is issued to ordinary citizens for general travel purposes.

On the other hand, red passports are given to government officials and employees for official travel, while dark blue ones are designated for the Philippine diplomatic service, members of the Cabinet, and other high-ranking government officials.

As of the latest Henley Passport Index, the Philippines ranked 75th in the world's most powerful passports, slipping two spots from its 73rd slot in 2024.

SteelAsia plant one of the certified world's greenest

SteelAsia plant named among world’s greenest

Philstar Global 
24 March 2025

MANILA, Philippines — SteelAsia’s plant in Calaca, Batangas has been certified as one of the greenest in the world in an independent report by DNV (Det Norske Veritas), a leading global assessment and certifying organization.

The report found SteelAsia’s plant to be nearly 90 percent lower than traditional steelmaking in terms of carbon footprint, generating a mere 0.28 tons of CO2 per ton of steel produced compared to the 2.32 tons of CO2 per ton average generated by conventional steelmaking.

The mill, which has been operating since 2008, combines recycling technologies with renewable energy.

The company’s chairman and CEO, Benjamin Yao, sees the facility as a blueprint for the future, saying: “Apart from rebar, the Philippines imports 90 percent of its steel, and from high CO2 sources such as China. We intend to replace importation with locally produced green steel products.”

Yao added, “By 2028, SteelAsia aims to produce 3.5 million tons of green steel per year,” avoiding the production of seven million tons of CO2 emissions annually which is equivalent to the carbon capture of 200 million trees.

SteelAsia’s green steel expansion will support the Philippines’ national commitment to the 2015 Paris Agreement, a United Nations Framework Convention on Climate Change initiative targeting a global temperature increase of less than 2°C by 2050.

SteelAsia is the Philippines’ flagship steel company with steel mills operating in Luzon, Visayas and Mindanao.