PEZA Eyes Boost in EMS-SMS Investments Following US Delegation's Trip

The Philippine Economic Zone Authority (PEZA) is gearing up for a potential surge in investments in the Electronics Manufacturing Services and Semiconductor Manufacturing Services (EMS-SMS) sector. Following the successful visit of a high-level US delegation led by Secretary Gina Raimondo, PEZA welcomed the statement of US Secretary of State Antony Blinken affirming the Philippines as a thriving and increasingly important partner for the US, particularly in strengthening the global semiconductor supply chain.

PEZA Director General Tereso O. Panga expressed optimism about attracting more investments from the US EMS-SMS sectors and other industries, emphasizing the Philippines' readiness and eagerness to expand business ventures with the United States. The positive outlook follows Secretary Blinken's visit to Amkor Technology Philippines' facility, a global leader in the Outsourced Semiconductor Assembly and Test (OSAT) industry, located in Muntinlupa City.

Secretary Blinken's visit underscored the importance of the Philippines as a partner for the US, echoing commitments made by Secretary of Commerce Gina Raimondo during the recent US delegation visit. State Secretary Blinken highlighted the significant role of the Philippines in the EMS-SMS sector, noting its substantial share in the global market and its contribution to the Philippine economy.

The US plans to invest $1 billion in the Filipino tech sector, aiming to double semiconductor factories in the country. However, Secretary Blinken emphasized the need to address barriers such as logistics and energy to facilitate these investments. ATP President and Country Manager Norberto Viera echoed the sentiment, stressing the importance of expediting initiatives to support the sector's growth.

In response, DG Panga assured PEZA's commitment to supporting the semiconductor industry, reiterating its priority status. He emphasized the importance of collaboration between the government and industry to address investment barriers and promote the Philippines as an attractive destination for EMS-SMS investments.

PEZA sees these developments as a prelude to attracting larger players in the industry, such as Taiwan firm TSMC, as it aims to diversify and expand its footprint. The agency highlights several advantages for investors, particularly within ecozones, including regulatory transparency, streamlined processes, and one-stop shop services.

The recent US trade mission has already generated significant interest from companies considering the Philippines for new and expansion projects. With PEZA home to numerous EMS-SMS companies, the agency remains optimistic about the sector's growth potential and its contribution to the Philippine economy.