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The US, Philippines, and Japan launched the Luzon Economic Corridor Steering Committee on the sidelines of the Indo-Pacific Business Forum in Manila
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The partners discussed priority sectors for engagement and reviewed potential projects and areas of interest, committing to future meetings quarterly
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The Luzon Economic Corridor 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
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The Luzon corridor is the first Partnership for Global Infrastructure and Investment economic corridor in the Indo-Pacific region
The US, Philippines, and Japan launched the Luzon Economic Corridor Steering Committee on the sidelines of the Indo-Pacific Business Forum on May 21 in Bonifacio Global City, Taguig City.
US Senior Advisor to the President for Energy and Investment Amos Hochstein, Acting Special Coordinator for the Partnership for Global Infrastructure and Investment (PGI) Helaina Matza, Philippine Senior Advisor to the President for Investment and Economic Affairs Frederick Go, and Japan Ministry of Foreign Affairs Director-General for International Cooperation Bureau Ishizuki Hideo convened the inaugural committee meeting.
The committee aims to drive infrastructure investment and development along the Luzon corridor.
The Steering Committee is set to implement the commitment made by trilateral leaders in April to develop the Luzon Economic Corridor under the PGI Indo-Pacific Economic Framework (IPEF) Investment Accelerator.
During the meeting, the partners identified priority sectors for engagement, reviewed potential projects, and agreed to hold quarterly meetings to advance their goals.
As the first PGI economic corridor in the Indo-Pacific region, the Luzon Economic Corridor will enhance connectivity among Subic Bay, Clark, Manila, and Batangas. It aims to facilitate strategic investments in high-impact infrastructure projects, including rail, port modernization, agribusiness, clean energy, and semiconductor supply chains and deployments.
READ: US, Japan, PH to develop Luzon Economic Corridor
Addressing the 6th Indo-Pacific Business Forum (IPBF), President Ferdinand Marcos Jr. underscored the importance of upgrading Luzon’s infrastructure to empower the workforce and streamline the flow of goods and services.
“We have earmarked key projects to spur growth in the Luzon Economic Corridor, creating strategic connections between Subic, Clark, and the CALABARZON region, a prime location for export-manufacturing firms,” Marcos said in the forum.
Highlighting the Philippines’ investment potential, the President emphasized the government’s vigorous efforts to develop the Luzon Economic Corridor, its renewable energy potential, and ongoing digitalization initiatives.
“These initiatives will enhance freight transport services, mobility, and access to key economic zones, ensuring business continuity and positioning the Philippines as a regional hub for agribusiness and logistics in the Asia-Pacific,” Marcos added.
President Marcos also highlighted the Philippines’ renewable energy (RE) potential, with over 491,821 megawatts available from geothermal, hydropower, solar, and wind sources. Recent amendments to the Renewable Energy Act now allow 100 percent foreign ownership of RE sources, making the country an attractive destination for clean energy investments.
“We intend to tap this vast potential as we target to increase the share of renewables in our power generation mix from the current 22 percent to 50 percent by the year 2040,” said Marcos.
The President also discussed the Philippines’ embrace of digital transformation, including a government-led strategy to enhance digital infrastructure, connectivity, and business facilitation. With micro, small, and medium enterprises central to the Philippine economy and the Indo-Pacific region, President Marcos said his administration is equipping them with the necessary tools to become sustainable businesses.
Additionally, he emphasized the country’s strategic location and robust experience in IT-BPM competencies.
He noted that the Philippines serves as a gateway to the more than 600 million-strong Southeast Asian consumer market, offering companies opportunities to integrate into regional supply chains and economic systems, fostering collaboration and partnerships.
