Messer Group of Germany, the world's biggest family-owned industrial gas manufacturing company, is keen on supplying industrial gas in the Philippines in light of the country's growing demand particularly in the steel and electronics sectors.
Department of Trade and Industry (DTI) Secretary Alfredo E. Pascual met with Messer Group CEO Stefan Messer in Berlin on July 5 during his 21-day Europe Investment Roadshow.
During the meeting, Pascual offered the Philippine government’s support in assisting the company identify anchor clients in the steel and electronics sectors.
Messer is scheduled to visit the Philippines in September 2023 for meetings with potential anchor clients in the said sectors.
The DTI chief also encouraged the company to consider establishing an industrial manufacturing plant in the Philippines, which will provide high-quality and better-paying jobs for Filipinos.
Messer Group is the biggest family-owned industrial gas manufacturing company in the world, which has approximately EUR 282 billion in total assets and employs 10,000 people in Germany and in over 100 locations globally. The company manufactures industrial gases like oxygen, nitrogen, argon, hydrogen, helium, carbon dioxide, shielding gases, and gases for medical use.
As part of the German leg of the Europe Investment Roadshow, Pascual met with Bayer, wpd AG and Siemens.
Bayer's Deputy Head Region for the Asia Pacific and Latin America, Bjoern Leschny, and the Senior Manager of Global Governmental Affairs Britta Jacob updated Pascual of its ongoing expansion in the Philippines, particularly its Global Business Services/Shared Service Center operations in Taguig City.
The P750 million investment of Bayer covers the integration of new value-added services, such as Human Resources (e.g., Talent Acquisition and Data Foundation), Strategy and Value Realization (e.g., Intelligent Automation and Process Mining), As-a-service (e.g., Project Management and Change Management As-a-service) as well as Source-to-Pay (e.g., Country Partnering).
The investment will make Bayer Philippines a hub within Bayer’s in-house Global Business Services network.
Bayer celebrated its 60th anniversary in the country in 2022.
Pascual also lauded the company's efforts in contributing to the development of the Philippines' business process outsourcing sector and expressed optimism about the potential benefits of this expansion for both Bayer and the country.
Bayer’s investment further demonstrates the country's potential as a strategic hub for global business operations and reinforces the government's commitment to attracting foreign investment.
Additionally, Pascual invited Bayer’s attention to the country’s pharmacovigilance services, one of the globally recognized strengths successfully tapped by US pharmaceuticals.
Alongside this investment, Bayer Philippines also has ongoing pilot sustainability programs such as the Bayer Kubo, which combines Crop Science, Consumer Health, and Pharmaceutical divisions, implementing health and agricultural programs for smallholder farmers in Bayer Learning Centers located in Pangasinan and Quezon province.
Bayer also has an active partnership with the Philippine Science High School supporting their existing Science Immersion Program where selected students get hands-on experience on research and development basics—from the lab to the field in two R&D sites in Laguna and General Santos City.
The meeting with wpd AG officials Hans-Christoph Brumberg, Yannic Nerke, and Hamid confirmed the group’s P400 billion, approximately $7.2 billion investment in off-shore wind power projects in the Philippines, with a combined rated capacity of 1,300 megawatts. These investments, are expected to be established in Cavite/ Batangas and Negros Occidental/ Guimaras provinces.
wpd AG plans and operates wind projects as well as solar projects in Germany, Europe, Asia, and the American continent.
They are also planning to register with the Board of Investments (BOI) onshore wind and solar photo-voltaic (PV) power projects in Aklan, Ilocos Norte, Ilocos Sur, Abra, Antique, and Bulacan, with a total planned capacity of 565.6 megawatts and a planned total investment worth at least P55 billion or $1 billion.
wpd AG's investment accounts for around 78 percent of total BOI-approved projects as of April 2023. For the first quarter of 2023, 91 percent of all the total approved foreign investments into the Philippines were accounted for by Germany.
In his visit at the Siemensstadt (Siemens’ City), a 70-hectare smart city showcase currently being developed by the Siemens Group some 11 kilometers northwest of central Berlin, Pascual met with Christian Madsen, the Head of Siemens Government-to-Government, and Max Pfeiffer, Senior Director of Government Affairs.
This project is expected to be fully operational by 2035 and is designed to be a model of a sustainable work/life environment.
He apprised Siemens of the Philippines interest in harnessing innovative technologies to accelerate the country's own smart city initiatives.