Amid the popularity of the Philippines neighboring countries to foreign investors, Trade and Industry Secretary Ramon M. Lopez has called on American investors to take a closer look at its most loyal ally in southeast Asia and make the Philippines their natural investment destination.
Lopez made this strong pitch for American firms to choose the Philippines during the electronics manufacturing services (EMS) webinar organized by the Philippine Trade and Investment Center. This is part of DTI’s new marketing campaign “Make it Happen in the Philippines” to promote the country as an attractive and reliable destination for investments as most companies, including US firms, are choosing Vietnam and Indonesia as relocation sites.
At the webinar, Lopez cited the two nations long history of trade, culture, and economic ties.
In 2019, Lopez said the US was the Philippines’ 3rd major trading partner, top export market, and 4th top import supplier. Bilateral trade between the Philippines and US last year amounted to $19.6 billion, higher than the $18.7B in 2018.
Moreover, the balance of trade in that period was at a positive $3.49 billion, higher than the previous year’s $2.57 billion.
Further, the US was the Philippines 6th top partner in approved investments in 2019 with $226.45 million.
In the first quarter of this year, the US was already Philippines 2nd top partner.
“That’s why we call on our American investors to take a closer look at how you can partner with the Philippines. You will see how we can ably support your business expansion plans, and provide you with a deeper insight on how to ‘Make it Happen in the Philippines’,” said Lopez.
In light of the strong economic partnership between the Philippines and the US, Lopez appealed for American businesses that are going global to make the Philippines their natural investment destination.
Lopez further said that partnering with the Philippines in the post-COVID is now made easier with the expected approval of the Corporate Recovery and Tax Incentives for Enterprises (CREATE) law.
DTI Undersecretary Rafaelita Aldaba said that CREATE, which offers a package of tax and fiscal incentives including reduction of the current corporate income tax to 25 percent from the current 30 percent, is expected to be approved next month, January 2021.