Japan announced last week that more than 200 of its manufacturing companies operating in China and Japan have expressed interest to relocate their businesses in the Philippines in the next five years.
According to Japanese Chamber of Commerce and Industry of the Philippines Inc. headed by Nobuo Fuiji, some of the firms had already started moving their operations here last year, because the Philippines is as a very competitive country.
“There are already 1650 Japanese companies located here. We have many inquiries from Japanese firms and we still receive inquiries up to now, which can increase by 200 up to 300 easily,” he said.
Fuiji said that most of the companies relocated here from China were engaged in information technology (IT) while some others in automotive and parts manufacturing like the Japanese bicycle maker Shimano has just opened a P1.2B facility in Batangas.
Japanese watchmaker Citizen also shut down its China factories and decided to move in the Philippines and the Mitsubishi Power Industries is another giant who is scheduled also to move in the Philippines according to latest news.
Fuiiji also said that some of the firms expressed interest in locating their operations in the Calabarzon (Cavite, Laguna, Batangas, Rizal and Quezon) area.
He said, “Philippine investment program and tax incentives given to foreign investors particularly those offered by PEZA (Philippine Economic Zone Authority) and BOI (Board of Investments),is also the reasons why more of its Japanese companies were establishing their business presence here.”
Fuiji added, that China’s rising wages also prompted some firms to move their production here and a competitive advantages of the Philippines, including its well educated English-speaking workforce and good quality infrastructure is also the main key.