The $24-billion investment and credit line pledges that the Philippine government secured from China earlier this week were a display of “greater confidence” in the future economic relationship of the two countries, according to Trade Secretary Ramon Lopez.
In a text message to reporters, Lopez said that the renewed friendships in this part of the world have opened huge opportunities for Philippines’ trade and investment in China and Asean market of over 1.9 billion people.
The deals secured during President Duterte’s state visit to China are expected to boost the trade and investment levels between the two countries, he added.
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Lopez disclosed that the $15 billion worth of investment projects signed were as follows:
*Subic-Clark railway project by Bases Conversion and Development Authority (BCDA) and China Harbour Engineering Co.
*Bonifacio Global City-Ninoy Aquino International Airport Segment of Metro Manila Bus Rapid Transit-EDSA project by BCDA and China Road and Bridge Corp.
*BCDA-China Fortune Land Real Estate project (memorandum of understanding);
*Safe and smart city projects for BCDA by BCDA and Huawei Technologies
*Transportation and logistics infrastructure at Sangley Point by Cavitex Holdings, International Container Terminal Services Inc. and China Harbour Engineering
*Joint venture agreement of Jimei Group of China and Expedition Construction Corp. for infrastructure projects
*North Negros biomass and South Negros biomass project by North Negros Biopower and Wuxi Huaguang Electric Power Engineering
*Globe Telecom projects to improve network quality and capacity
*Jin Jiang hotel room capacity expansion from 1,000 to 2,000 by Double Dragon Properties and Hotel of
Asia Inc.
*Joint development project on renewable energy by Columbus Capitana and China CAMC Engineering
*New Generation Steel Manufacturing Plant by Mannage Resources and SIIC Shanghai International Trade HK;
*Joint venture on steel plants by Global Ferronickel and Baiyin International
*Renewable energy projects by Xinjiang TBEA Sunoasis
*Davao coastline and port development project by Mega Harbor Port and Development and China Harbour Engineering;
*Manila Harbour Center reclamation by R-II Builders Inc. and China Harbour Engineering
*Cebu International and Bulk Terminal project by Mega Harbour Port and CCCC Dredging Company
*Cabling manufacturing facilities by MVP Global Infrastructure Group and Suli Grp Ltd.
*Manila EDSA Bus Transportation program by Phil State Group and Yangtse Motor group and Minmetals International
*Hybrid rice production by SL Agritech and Jiangsu Hongqi Seed Inc.
*Bus manufacturing facility by Zhuhai Bus and Coach Co.
*Banana plantation project by AVLB Asia Pacific and Shanghai Xinwo Agriculture Development Co.
*300MW Pulangi-5 Hydro Project by Greenergy Co. and Power China Guizhou Engineering Corp.
*Pasig River, Marikina River and Manggahan Floodway bridges construction project by Zonar Construct and SinoHydro;
*Ambal Simuay sub-river basin flood control project by One Whitebeach Land Development and Sino Hydro;
*Nationwide island provinces link bridges by Zonarsystems and PowerChina Sino Hydro; and
*Railway project (study) by MVP Global Infrastructure group and China Railway Engineering Corp.
These investment agreements are expected to generate 2 million jobs over the next five years.
Meanwhile, financing facilities worth a total of $9 billion would come from the China State ($6 billion) and Bank of China ($3 billion), Lopez said.
“We will maintain relations with our other partners but we would revive the stronger integration with our neighbors. We share centuries of trading, similar cultures and a better understanding of our region,” he said.
“For China alone, they continue to be the Philippines’ second major trading partner with $17 billion value in total trade. Our exports to China were $6 billion in 2015 but this still has high growth potential as we establish better relations and considering China’s total imports was around $2 trillion in 2015.
Another promising area again is investment from China. Their investment to the Philippines dropped to only $32 million in 2015.
But China’s total outward investments was around $130 billion in 2015,” the trade chief said.
Source: http://business.inquirer.net/217269/itemized-list-ph-projects-covered-chinas-15-b-investment-pledges-duterte
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Philippine President Rodrigo Duterte’s visit to Japan yielded investment commitments worth $1.85 billion from private companies, a member of his administration said Thursday.
Trade and Industry Secretary Ramon Lopez said the investments, forged through memorandums of understanding and letters of intent, are in the automotive, egg-laying technology, optical imagery, and biofuel fields, among others.
“The fresh commitments may generate between 200,000 to 250,000 direct and indirect jobs over the coming years,” Trade Undersecretary Nora Terrado said in a separate interview.
Lopez said the amount does not include possible fresh commitments from such big Japanese companies as Marubeni and Sumitomo Mitsui Banking Corp. that had brief meetings with Duterte during courtesy calls of their officials on Thursday afternoon.
Duterte’s three-day visit ended Thursday.
“We look up to Japan as a very good partner on all fronts — official development assistance, trade, and investments,” Lopez said.
Ramon Jacinto, Duterte’s adviser on economic affairs, described the Philippine leader’s first visit to Japan as “very positive,” noting how “the Japanese understood him very well in terms of what he really wants, and what he really means by asserting our independence, and that we have to stand up on our own, and that we have to create our own ASEAN region that is strong like the European Union.”
ASEAN refers to the Association of Southeast Asian Nations, a 10-member regional bloc that includes the Philippines.
According to statistics provided by the Japanese Embassy in Manila, Japan’s cumulative direct investment to the Philippines from 2000 to 2015 totaled around $609 billion, topping the Netherlands’ $431.3 billion and the United States with $399 billion.
Trade between the Philippines and Japan, its largest trading partner, meanwhile, totaled $18.8 billion in 2015, higher than with China, which is valued at $17.2 billion, and with the United States, at $16 billion.
On official development assistance, Japan is the Philippines’ largest donor, totaling $24.3 billion from 1966-2013, representing 56 percent of what the Southeast Asian country has received during the period.
Source: http://www.japantimes.co.jp/news/2016/10/27/business/duterte-visit-yields-1-85-billion-investment-commitments/#.WBKuCa_Av1Q
Haha... Ayan na nga ang daming projects na maibibigay ng China, sila ang 'main' contractor at tayo ang 'sub-contractor' na taga bigay lang ng labor. Usually, ang project cost ng mga ganyan ay overpriced kasi nga sila ang 'financier' at 'main' contractor. Ang tanong lang nito, ano ba ang kapalit nitong mga projects nato? Imposible walang kapalit yan. Hahawakan na tayo sa leeg ng mga Chinesa na yan.
Yon namang sa Japan, parang ni renew lang naman natin yong ating commitment sa kanila na magpapadala tayo ng mga saging, before kasi tayo ang main exporter sa kanila mga 90%, kaya lang na bad shot tayo noong 2005 kasi yong saging natin na napadala may traces ng pesticide. Tapos nagka problema pa ata dahil tinamaan yong mga saging natin ng 'tropical strain 4' na nakapinsala sa produksyon ng saging. Dahil nga MOU pa yan, pede pa din magka problema pag hindi tayo lumusot sa kanilang standards at ma reject. Pero ang Japan committed naman talaga yan sa atin at yang Marubeni at Sumitomo matagal na sa atin na nakikipag business.
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