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Manila Bulletin devider Business devider Trade & Industry devider DTI vows support for aerospace, defense projects

DTI vows support for aerospace, defense projects

Published Apr 14, 2024 03:01 pm

The Department of Trade and Industry (DTI) has vowed support for investments in the aerospace and defense sector as it courts more companies to locate in the Philippines following the trilateral cooperation established by the Philippines, United States, and Japan.

“In partnership with the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA), we stand ready to assist companies seeking to invest and expand in the Philippines' growing aerospace and defense industry," said DTI Secretary Alfredo E. Pascual at the sidelines of the visit in Washington D.C., wherein the heads of state and senior officials of the three nations converged to strengthen ties.

20240413 DTI Chief PH Government Committed to Supporting Growth of Aerospace and Defense Manufacturing Photo 1.png
AEROSPACE INVESTMENTS TO PH --- Department of Trade and Industry (DTI) Secretary Fred Pascual (center) met with Collins Vice President and General Manager Alison Davidson (left) and International Government Relations Director Kyle Ballard (right) in Washington D.C. to discuss aerospace investments to the Philippines. 

Pascual had a session with global aerospace firm Collins' Vice President and General Manager Alison Davidson and International Government Relations Director Kyle Ballard.

Collins Aerospace Philippines, a division of RTX, has been a long-time investor in the Philippines, following its registration with the PEZA and establishment of its operations in Batangas province.

The company primarily focuses on manufacturing aircraft interior components, but have expanded to providing "engineering, oxygen systems manufacturing, and aircraft components repair," as per the DTI.

In 2023, it began manufacturing aircraft seats for other aerospace giants like Boeing, Airbus, and Embraer. In January 2024, it delivered its first shipment of seats to Airbus.

DTI's Strategic Trade Management Office (STMO) has an existing partnership with RTX/Collins Aerospace's local partner, OnSemi Philippines, for the export of strategic goods.

“We offer a compelling suite of incentives and are dedicated to facilitating collaboration between the private sector and the government. This partnership aims to strengthen our national defense capabilities while bolstering our aerospace industry," said Pascual.

These incentives include the 15 to 17-year benefits under the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act.

RTX/Collins Aerospace Philippines may also avail of STMO's Global Authorization license to access streamlined global exports.

The Philippines, through the Department of National Defense (DND), is currently implementing the Armed Forces of the Philippines (AFP) Modernization Program, which aims to enhance military's capability to address security threats from land, air, and sea.

The trilateral meeting sought to boost the country's defense policy, ensuring the aid of the US and Japan in providing expertise, equipment, and support amid tensions in the West Philippine Sea and other security concerns.

 

 

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