MANUFACTURING & LOGISTICS
The development path of each of Asia’s advanced and middle-income economies has been characterized by strong growth of the industrial sector and large shifts of workers from lower value-added agriculture and services into higher-value manufacturing and exports. This has yet to take place in the Philippines on a sufficiently large scale.
Manufacturing
For much of the last century, industrialization in the Philippines consisted of import substitution and exports of agricultural and forestry products having limited value-added (e.g. coconut oil, copper metal, and plywood). [ Read This Chapter ]Logistics
The ports of Batangas and Subic have substantial new investment in port infrastructure that should be utilized to lower international shipping costs for industry in CALABARZON and to develop an Asian regional freeport at Subic. [ Read This Chapter ]
News Updates
[EDITORIAL] ‘Uncompetitive’ PHL
6 June, 2019 at 14:40
Colgate-Palmolive Philippines Inc. shuttered its manufacturing operations and moved out of the country in 2008. The multinational firm cited the lack of infrastructure and the high cost of water and electricity as some of the factors behind its decision to transfer the production…
Seipi: CIT shift means 80% operating cost hike
31 May, 2019 at 13:57
Semiconductor firms on Thursday said their operating cost will increase by as much as 80 percent if they are stripped of their tax incentives under the government’s rationalization plan.
Uncertainty weighs on electronics firms’ plans
31 May, 2019 at 13:52
The country has lost a “billion dollars” worth of investments for chip plant expansion due to uncertainty from plans to change tax incentives, the Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI) said on Thursday.
DOTr, LRTA, LRMC begin today full-blast construction of LRT-1...
8 May, 2019 at 14:40
The full-blast construction of the LRT-1 Cavite extension project starts today, the Department of Transportation (DOTr), Light Rail Transit Authority (LRTA), and Light Rail Manila Corporation (LRMC) announced Monday.
PEZA wants separate incentives regime for exporters in upcoming...
15 April, 2019 at 12:30
THE Philippine Economic Zone Authority (PEZA) said it will submit to the next Congress its proposed amendments to the current incentive regime, distinguishing more clearly between firms serving a mainly domestic market and exporters.
Korean manufacturers decry port congestion, mull departure
30 January, 2019 at 13:53
Korean manufacturing companies are on the brink of leaving the Philippines as they struggle with port congestion issues, a problem that led to the exodus of some firms…
Business groups urge PRRD to sign the Rice Tarrification...
23 January, 2019 at 10:41
We, the undersigned business and professional organizations, hereby strongly support ongoing efforts and measures of the administration to liberalize the economy and thereby unleash its…
[VIDEO] Cutting incentives not a deal-breaker for investors, says...
10 January, 2019 at 14:47
Fiscal incentives are good but many foreign investors can also live without them as long as infrastructure improves at a faster pace…
2018 BOI investments hit record high of P907.2 B
7 January, 2019 at 17:00
Investments approved by the Board of Investments (BOI) hit a new all-time high this year, exceeding the agency’s P680-billion target.
[OPINION] Is manufacturing losing steam?
6 December, 2018 at 15:00
After averaging 7-8 percent annual growth over the last eight years, the manufacturing sector posted a lackluster growth rate of 4 percent in the third quarter (Q3).
[OPINION] What caused the slowdown?
19 November, 2018 at 14:37
The third-quarter GDP growth report was a letdown to many, as the 6.1-percent GDP growth rate reported was much slower than the 7.2-percent figure posted…
TRABAHO Bill could cut apparel work force by 40%
23 October, 2018 at 17:00
Apparel exporters said layoffs in the industry could amount to 40% of the workforce if investment incentives are rationalized under the Tax Reform for Attracting Better and Higher-Quality Opportunities bill.
‘Trabaho bill’ to force semicons to shed 140,000 jobs–industry...
21 September, 2018 at 13:00
The irony is real—and could be costly. The government’s second tax-reform measure, dubbed the Trabaho bill in the House of Representatives version, will force the semiconductor industry to lay off 140,000 workers once fiscal incentives are rationalized.
US FTA deal to secure PH’s key market access
6 August, 2018 at 15:00
The Philippine government has cited the importance of forging a free trade agreement (FTA) with the US to secure enhanced market access in light of the rise in trade protectionism and escalation of trade war.
Electronics sector seeks 10% CIT
8 May, 2018 at 11:30
The electronics manufacturing sector, the country’s biggest dollar earner, has proposed for a 10 percent corporate income tax, inclusive of the Local Business Tax and the Real Property Tax, in lieu of the planned removal of the perpetual 5 percent tax on gross income earned…
[OPINION] Endo and Manufacturing
3 May, 2018 at 12:00
HB 6908 or “An Act Strengthening the Security of Tenure of Workers” was approved on third reading by the House of Representatives. It proposes “Endo” or end of contractualization.
