The Philippine government has named the leading business chamber of Dongguan, China, as its newest investment promotion partner, signaling strengthened economic integration between the two countries.

In a statement, the Philippine Economic Zone Authority (PEZA) said its top official, Director General Tereso Panga, has signed a memorandum of understanding with the China Chamber of International Commerce (CCOIC) - Dongguan, headed by Zhao Wenfa.

The new partnership is an outcome of PEZA’s investment mission to China last March, during which the China+1+1 strategy was cited as a key opportunity for the Philippines.

Seen as an upgrade to the China+1 scheme, China+1+1 is a rising trend where companies maintain their operations in China while expanding to other Asian markets.

PEZA said talks of this strategy laid the groundwork for closer collaboration with Chinese companies looking for a resilient, dual-base production and supply chain model in the region.

The investment promotion agency (IPA) said CCOIC’s Zhao has committed to leveraging its business operations as a foundation for the economic collaboration.

Aside from his position at the business group, Zhao is also the chief executive officer (CEO) of Dongguan Aoxing Audio Visual Equipment Co. Ltd., a manufacturing firm that produces equipment for brands such as HP, Epson, and Skyworth.

With his business insight and experience in Chinese business communities, PEZA said Zhao is well-positioned to lead efforts to promote both local and foreign direct investments (FDI) into PEZA ecozones.

“PEZA counts the Chinese investors, including those from Taiwan and Hong Kong, among our best bets for FDI attraction for this year and for succeeding years to come,” said Panga.

With the Philippines being considered as the new “plus one” destination for Chinese companies, investment promotion partners such as Zhao’s CCOIC - Dongguan plays a vital role in engaging with potential investors.

Panga said this will ultimately promote the Philippines’ “competitive edge as the emerging investment hub in the region.”

The PEZA chief earlier said that capturing the interest of Chinese companies could help the country weather the storm from the impact of the reimplementation of the United States’ (US) reciprocal tariffs.

The agency’s data showed that South Korea is the leading source of investment commitments this year, accounting for 16.12 percent of the total approved investments.

Other major sources of investment include the US, China, Japan, and the Netherlands.

For the first five months of the year, PEZA said it has approved ₱66.34 billion in investment pledges, up 80 percent from the ₱36.83 billion recorded in the same period last year.