Japanese companies have committed to investing in the Philippines, the Philippine Economic Zone Authority (PEZA) said on Tuesday following an investment mission from Nov.
Business meetings with potential Japanese investors were “serious” and resulted in “heightened interest in investment,” Tereso Panga, acting head of PEZA, said in a statement.
In particular, a Memorandum of Understanding (MoU) to promote the Philippines was signed with the Japanese Junca Global Partner Inc., and a registration agreement was signed by the electronic company Kurabe Industrial Philippines Inc. for the production of car heating parts in Lipa, Batangas.
As part of the deal, PEZA and Junca will promote the Philippines as an investment destination for existing manufacturing companies and startups looking to partner with local startups.
“Through the signed MoU, PEZA and Junca will collaborate to bring renewable energy technologies to ecozones and thereby enable locator companies to remain globally competitive while contributing to climate change mitigation in line with the Kyoto Protocol and the Paris Agreement. . Panga said.
Hisayuki Nagatome, Chairman and CEO of Junca, said the firm will “invest and implement the latest technologies in the Philippines through PEZA, especially in the field of artificial intelligence, blockchain system, biotechnology and stem cells, and health products.”
Kurabe, meanwhile, will manufacture and assemble car seat heaters, steering wheel heaters and heating wires on a 5-hectare site in the Lima Technology Center – Special Economic Zone in Lipa City, Batangas.
Panga said that as of September, PEZA had a total of 898 Japanese businesses operating in the Philippine economic zones, with a cumulative investment of 739.599 billion pesos. He added that in the first nine months of 2022, a total investment of 11.262 billion pesos was made, resulting in 351,335 direct jobs and $13.258 billion in export earnings.
In this regard, Acting Deputy Head of PEZA Alim Siddiqui Giapal said on Tuesday that 13 pending economic zone projects worth about 18 billion pesos will be implemented in areas outside of Manila, especially in the provinces of Batangas, Bataan, Davao, Sarangani. and Cavite.
Seven of the 13 will be for manufacturing, four for IT (information technology) parks, one for knowledge, innovation, science and technology parks, and one for the agro-industrial ecozone, Siddiqi said.
There are about 420 economic zones in the Philippines, 40 of which are located in Mindanao.
Siddiqi also said that this Friday, PEZA will reward investors who have contributed to the growth and development of various industries in the country.