TOKYO — President Ferdinand “Bongbong” Marcos Jr. on Friday witnessed the signing of at least 35 Letters of Intent on investments and agreements between the Philippines and Japan-based companies.
Among these is Mitsubishi Motors Corporation’s renewed commitment to expanding its automobile manufacturing project in the Philippines.
The Presidential Communications Office said other business agreements signed included a wiring harness manufacturing expansion project with Asti Corporation, a printer manufacturing expansion project with Brother Industries Ltd., a hotel construction project between DoubleDragon Corporation and Iwata Chizaki Inc., and a factory expansion project with Japan Tobacco Inc.
Kurabe Industrial Co. Ltd. pledged to build a new factory for auto parts, as well as energy, transportation, healthcare, and afforestation projects with Marubeni Corporation.
In his remarks, Marcos thanked the Japanese business leaders and investors for “considering the Philippines as a place and as a partner to grow your businesses.”
“Game-changing reforms” are underway, he emphasized, to upgrade the Philippine business environment.
“With the Retail Trade Liberalization Act, the Public Service Act, the Foreign Investments Act, and the provisions of the Corporate Recovery and Tax Incentives for Enterprises Act or CREATE, our policies offer more encouraging incentives to support foreign businesses, including those from Japan,” he said.
“We have also eased restrictions on foreign nationals owning businesses in the Philippines. The Philippine government is also enabling cross-cutting mechanisms to ease investments. Very soon you can expect reduced transaction costs in aspects of doing business in the Philippines.”
Green lane
The government agencies concerned, he noted, have been mandated to establish a green lane to streamline the processing of permits and licenses.
“We are prescribing a maximum of three working days for simple transactions and 20 working days for highly technical transactions. This will also offer a single point of entry for strategic investments,” he said.
The Chief Executive assured the businessmen that his administration is geared towards “economic liberalization laws” and “strategic reforms that promote ease of doing business.”
“The government of the Philippines has been working to deepen the confidence in the Philippines of foreign investors and companies,” he said.
He added: “It is our hope that companies such as yours will not only find the Philippines to be an attractive investment destination, but we are designing our efforts to encourage you to stay and to find our country to be a place where your businesses will thrive.”
Several allies of the President in the Legislative branch have been pushing to amend the Constitution and liberalizing its restrictive “economic-related provisions.”
Lawmakers particularly are seeking the amendment of the provision limiting foreign ownership of businesses in the country.
Seven key agreements were also signed between the Philippines and Japan covering various areas of mutual cooperation, including humanitarian assistance, disaster relief, infrastructure, agriculture and digital cooperation.
The signing was done a day after the first summit meeting between Marcos and Japanese Prime Minister Fumio Kishida at the Prime Minister’s Office in Tokyo.
Also signed by the two leaders was the Terms of Reference on Humanitarian Assistance and Disaster Relief of the Japan Self-Defense Forces or SDF — an agreement that would allow joint drills in humanitarian assistance and disaster relief between the Japanese and Philippine militaries.
Long list
Also on the list are Nidec Corporation’s (Nidec-Shimpo Corporation) speed reducer gear manufacturing expansion project; Nomura Real Estate Development Co. Ltd./ GT Capital Holdings’ property development project; Renova Inc.’s renewable energy project; and Sojitz Corporation’s property development project and telecommunications project.
The President also secured the commitments of Taiheiyo Cement Philippines Inc. for a kiln renewal, distribution terminal and berth reinforcement project; Tamiya Inc.’s new factory for plastic models and RC cars; TDK Corporation’s new factory for next-generation HDD heads and components project; Toyota Motor Corporation’s light commercial vehicle manufacturing project; and Yamaichi Electronics’ new factory for IC sockets.
Other business deals include Kawasaki Heavy Industries/Aboitiz/ Amber Kinetics/ IKS Co. Ltd.’s mechanical energy storage technology project; Ubicom Holdings Inc./Advanced World Systems Inc.’s software development outsourcing project; Department of Environment and Natural Resources/Marubeni Corporation/Dacon Corporation’s joint credit mechanism project; and Hitachi Ltd. and Filinvest Development Corporation’s development, construction, and operation of desalination facilities to supply potable water to Metropolitan Cebu.
Also included are Sumitomo Corporation’s North South Commuter Rail/Metro Manila Subway rolling stock project; Oriental Energy & Power Generation Corporation/ Marubeni Corporation’s development and operation of renewable power plants; Murata Manufacturing Co. Ltd.’s multi-layer ceramic capacitors factory expansion; Kenko Tokina Co. Ltd.’s telescope factory expansion; Hankyu Hanshin Properties Corp. and W Landmark Inc.’s co-investment in a REIT, and a joint venture in commercial real estate development activities; and JERA Co. Inc. and Aboitiz Power Corporation’s cooperation in the development of ammonia and hydrogen value chains in the Philippines, and assessing the feasibility of ammonia co-fired power generation in the country.
Other deals were: Sojitz Corporation and Maestro Holdings Inc.’s joint venture partnerships in healthcare, logistics and warehousing, and education; and Vista Land & Lifescapes Inc. and Mitsubishi Estates Co. Ltd.’s housing project.
There was a ceremonial handover of a Certificate of Gratitude between AMEN and Go Negosyo; and a demonstration project for the development of smart mobility between the Bases Conversion and Development Authority and the New Energy and Industrial Technology Development Organization.
Investment pledges
Malacañang has yet to disclose the value of the investment pledges reaped by the Marcos visit, as well as the potential number of jobs to be generated.
“He will announce it in his arrival statement,” Presidential Communications Secretary Cheloy Garafil told the Daily Tribune.