Home » Press Releases » P289B in Japanese investments to boost PH manufacturing—DTI  

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The recently signed agreements on Japanese investments in the Philippines will fuel the country’s manufacturing resurgence, according to Trade and Industry Secretary Ramon Lopez.

During last week’s working visit of Philippine President Rodrigo Duterte to Japan, Philippine and Japanese firms signed 26 business agreements worth P288.8 billion.

Of the 26 agreements signed, 19 are letters of intent to manufacture cars, wire harnesses, printers, medical devices, and electronics, Lopez said in a statement.

“These investments will help expand our manufacturing base and increase our high-value exports. More importantly, these companies will employ thousands of Filipinos and help them better the quality of their lives,” he said.

Department of Trade and Industry (DTI) special trade representative in Tokyo Dita Angara-Mathay said that with these investments, the Philippines will become an emerging manufacturing hub for printers, medical devices, and wire harness.

The agreements include an LOI from Canon to expand its existing investments in the Philippines for monochrome laser printers including service parts, packaging materials, and optional products.

For medical devices, Terumo Corp signed an LOI to expand investments in manufacturing, sale and export of medical devices such as disposable syringes, needles, safety needles, IV catheters, and urinary drainage bags.

Furukawa Electric Corp and Sumitomo Electric Industries likewise signed LOIs to expand their wire harness facilities in Philippines.

Moreover, Furukawa intends to expand production capacity of wholly owned centers for wire harnesses. Sumitomo plans to build a new facility for wiring harnesses and related products for export to Japan and North America.

To address the gap in manufacturing managers in the Philippines, Japanese companies Tescom Denki and Outsourcing Inc. signed a memorandum of understanding with Filipino electronic and semiconductor subcontractor company EMS Group to send at least 3,000 skilled workers such as engineers and IT professionals to Japan for training and work experience.

DTI also sought new investments through a business matching session with a diverse group of companies, including small and medium enterprises. Board of Investments director Angie Cayas and DTI-Bureau of Export Trade Promotions assistant director Anthony Rivera gave presentations on opportunities in the manufacturing and services sectors.

DTI reported that the session generated 120 formal meetings, 56 informal meetings, one potential MOU, and $17.45 million in estimated business leads and potential sales to be realized in one to three years. Some Japanese companies likewise expressed interest to collaborate on financial technology and artificial intelligence.

Beyond manufacturing, Japanese firms also committed to invest in public and mass transport, defense, energy, power distribution, food and retail.

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