PEZA attracts firms relocating from China due to US tariffs

Philippine Economic Zone Authority (PEZA) Director General Tereso Panga said that the Philippines is becoming a preferred destination in Southeast Asia for companies with operations in China, due to increasing tariffs imposed by the US on Chinese imports.

During recent PEZA investment meetings in various Chinese cities, several companies expressed interest in relocating their manufacturing facilities to the Philippines to avoid high tariffs and access the US market more effectively.

PEZA has attracted significant investments from multinational corporations such as TE Connectivity, which is building a PHP1.7 billion facility in the Philippines for electro-optical components and devices, creating over 2,000 jobs.

The agency also noted that companies in electronics, electric vehicles, and automotive sectors are transferring part of their operations to the Philippines to diversify their manufacturing bases.

PEZA continues to receive inquiries from large Chinese manufacturers looking to establish redundant facilities in the country for exporting goods to the US and EU markets.