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US ammo hub plan in Subic 'not surprising'—envoy

Published Jul 4, 2025 12:20 am
United States Ambassador to Manila MaryKay Carlson is unsurprised by plans to establish a mutual ammunition co-production factory in the former US Naval Base Subic Bay.

(From left) DFA Secretary Ma. Theresa Lazaro and United States Ambassador to the Philippines MaryKay Carlson lead the ceremony of the US Independence Day celebration at a Taguig hotel on Thursday, July 3, 2025. (Photo from US Embassy in Manila)
(From left) DFA Secretary Ma. Theresa Lazaro and United States Ambassador to the Philippines MaryKay Carlson lead the ceremony of the US Independence Day celebration at a Taguig hotel on Thursday, July 3, 2025. (Photo from US Embassy in Manila)
In an interview on the sidelines of the US Independence Day celebration on Thursday, July 3, the envoy recalled the joint statement by US Defense Secretary Pete Hegseth and Defense Secretary Gilberto Teodoro Jr. on the prospect “for enhancing our defense industrial cooperation through potentially co-production here in the Philippines.”

In a June 16 report, the US House Committee on Appropriations ordered federal agencies in charge of defense and foreign policy, as well as their government investment arm, to assess “the feasibility of establishing a joint ammunition manufacturing and storage facility” in Subic Bay.

“So I'm not surprised, given the very strong bipartisan support for the Philippines and the US Congress, that they're also looking at ways that we can continue to enhance US-Philippine defense cooperation here in the Philippines,” she said.

false>false>The two countries have enhanced their defense cooperation in recent years as President Marcos aims to strengthen the country’s military capabilities in light of China’s continued assertive actions in the South China Sea.

false>false>Arbitral ruling anniversary

true>true>And as the Philippines commemorates the ninth anniversary of the 2016 arbitral tribunal award that was awarded on July 12, 2016, Carlson reiterated Washington’s support for the decision.
true>true>
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“We continue to be ardent supporters of the Philippines with regard to promoting freedom of navigation and rule of law and international law of the sea,” she said.

“So, absolutely we're here to support the Philippines on the remarkable nine-year anniversary of this very important ruling,” she added.

false>false>The arbitral tribunal victory invalidated the historical basis of China’s claim in the region, but Beijing has repeatedly rejected the ruling and criticized Washington for its interference in what it called a regional dispute.

false>false>US tariff negotiation
>true>

true>true>
Meanwhile, Carlson also said that the Philippines and the US “are working very hard to reach an agreement” on the tariff and trade issues that hailed from the reciprocal tariffs imposed on Philippine products.

“So in that sense, I know trade is an ever-evolving issue, and we will continue to work together as friends, partners and allies, particularly as partners in prosperity with regard to our mutually beneficial trade,” she added.

The deadline for the suspension of country-specific reciprocal tariffs is set on July 9 (US time).

Negotiations with the Philippines are ongoing, with Manila hoping for an extension of the US tariff negotiation period, so that the provisional 10 percent rate will apply for longer.

When the suspension lifts, the US plans to impose a 17 percent reciprocal tariff on the Philippines.

Related Tags

Subic Bay United States MaryKay Carlson US-PH alliance ammo facility
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