President Marcos underscored the strategic importance of the planned United States-backed ammunitions hub in Subic, saying its development is a critical component of the Philippines’ self-reliance defense program.

In a joint press conference with US President Donald Trump at the White House, Marcos said the modernization efforts for the Philippine military, including such projects, are a direct response to prevailing circumstances.

He particularly mentioned the evolving situation around the South China Sea and the broader Indo-Pacific region.

“All of what we consider part of the modernization of the Philippine military is really a response to the circumstances that surround the situation around the South China Sea, and now what we used to refer to as the Asia-Pacific, which we have expanded now to the Indo-Pacific,” he told reporters on Tuesday, July 22.

The President further explained that the US assistance in ammunition production is aiding the Philippines' self-reliance defense program, which allows the country to “be self-reliant and to be able to stand on our own two feet.”

Philippine Ambassador to the United States Jose Manuel Romualdez earlier said that Filipino officials had already initiated talks on the US’ plan to build an ammunitions hub in Subic, which is part of the Luzon Economic Corridor that Washington backs.

He added that the Philippines is open to the project because it was “a good way” of having both defense and economic cooperation between Manila and Washington.

“Setting up a production facility in the Philippines would obviously be beneficial for us economically also,” Romualdez said early this week.

“It will be able to create jobs, and it will obviously be a good hub for them to be able to produce what is required for US defense,” he added.

President Marcos also emphasized the necessity of increased interaction with allies and partners, but said this was not limited to the United States.

“The reason that we have encouraged more interaction with the United States is because it is necessary,” he said.

“And it is not just with the United States. It is with all our neighboring countries and even countries as far afield as Scandinavian countries, the EU (European Union), and so this is an ongoing process,” he added.

Marcos stressed that this is vital for any future circumstances that may arise.

“Again, I will stress the point that we do this because we feel it is necessary,” he said.

For his part, President Trump highlighted the importance of building the ammunitions hub in Subic to US interests.

“It's very important. Otherwise, we wouldn't,” he said.

Trump noted the US goal to significantly increase its ammunition and missile stockpiles in the coming months.

“We're going to end up, in a few months, we'll have more ammunition than any country has ever had. We're going to have more missiles than any country has ever had,” he said.

“We'll have the speedy ones, the slow ones, the accurate ones, the ones that are slightly less accurate. We have everything. But we will have more ammunition than any country has ever had. It's very important to me,” he added.

Defense Secretary Gilberto Teodoro Jr. said the ammunitions hub project, though funded by the US Congress, is conceived as a foreign direct investment (FDI).

He also noted that a private entity might manage the hub on a commercial basis, allowing them to hire people commercially.

“Depending on the scale, initially about 200 to 300 people, highly technical people,” he told Manila-based reporters in Washington when asked about the project’s job projection.

Teodoro likewise highlighted the potential for downstream industries to emerge from the hub's operations. He added that the development would require building access to port facilities.

“It will regenerate revenue on a commercial basis for Subic,” he said.

“It will increase our trade flows,” he added.

Teodoro also said that the project would address the worldwide shortage of munitions across all calibers.

“That will also cater to commonality of production of munitions, which is at a worldwide shortage at this time, of all calibers, whether direct fire or indirect fire,” he said.

He added that the business proposal for the FDI would be reviewed, and more details would be reported once finalized.