BPO sector eyes diversification as U.S. policy threatens outsourcing landscape

An office environment with several workers seated at desks, each using computers. The image depicts a busy call center setting, showcasing employees engaged in their work.

A business process outsourcing office in his undated photo. Trade Secretary Cristina Roque on Monday (Aug. 18, 2025) vowed to address the BPO sector from possible effects of the United States protectionist policies. (Screengrab from PTV)

The Philippine business process outsourcing (BPO) industry is preparing to diversify its client base as U.S. lawmakers push for the proposed Keep Call Centers in America Act, a measure that could strip federal grants from firms operating call centers overseas.

The sector, a cornerstone of the Philippine economy, employed around 1.4 million workers in 2024 and generated approximately USD 38 billion in revenues—70 percent of which came from U.S. clients.

Trade and Industry Secretary Cristina Roque acknowledged the looming risks but emphasized that the Department of Trade and Industry (DTI) remains committed to supporting the sector through its partnership with the Information Technology and Business Process Association of the Philippines (IBPAP).

“For us at DTI, we’ll continue to support the IT-BPO and IBPAP businesses in whatever they need, the same way we’ve assisted in the past,” Roque said. “We can’t just look at the U.S. as the only market. The world is the market. Diversification is key.”

Despite the uncertainties, industry players remain optimistic. India-based Fusion CX, a global customer experience provider, recently strengthened its Philippine footprint by opening a new office in Mandaluyong City, now making the country its second-largest global hub.

“Our operations in the Philippines remain strong because of its exceptional talent pool, government support, strategic growth engine, and industry resilience,” said Fusion CX co-founder and CEO Pankaj Dhanuka.

He added that the company’s growth strategy includes tapping provincial hubs beyond Metro Manila, citing its expansion in Cebu, Cavite’s Silang, and Legazpi City in Albay.

“The Philippine government has consistently shown its commitment to the BPO industry through supportive policies, tax incentives, and the creation of economic zones. This has created a business-friendly environment that encourages investment and growth,” Dhanuka noted.

As the U.S. debates protectionist measures, the Philippine BPO industry is positioning itself to mitigate risks—turning potential challenges into opportunities for broader global engagement.

Leave a Reply

Discover more from

Subscribe now to keep reading and get access to the full archive.

Continue reading