Electric vehicles (EV) are on display at the Manila International Motor Show in this April 10, 2025 photo. Economic officials on Tuesday (Feb. 24, 2026) said a foreign firm is considering a Philippine EV plant to boost investment and create jobs. (PNA file photo by Ben Briones)
A major foreign electric vehicle manufacturer is weighing a substantial investment in the Philippines, a move that could accelerate the country’s push to strengthen local manufacturing while advancing the transition to cleaner transport.
The potential entry was revealed by Department of Finance Secretary Frederick Go during his address at the ASEAN Editors and Economic Opinion Leaders forum in Makati City, where he highlighted growing international interest in the Philippine industrial and clean-energy landscape.
While discussions remain confidential, Department of Trade and Industry Secretary Ma. Cristina Roque confirmed that negotiations are progressing positively. Speaking on the sidelines of the event, Roque said the talks have been encouraging but stressed that details, including the size of the investment and the identity of the firm, will only be disclosed once finalized.
She expressed optimism that the deal could be concluded within the year and underscored its potential to generate new jobs for Filipinos.
The possible investment comes as demand for electrified vehicles gains traction in the local market. Industry data from the Chamber of Automotive Manufacturers of the Philippines Inc. and the Truck Manufacturers Association show that electrified vehicles accounted for 7.01 percent, or 32,489 units, of total member sales in 2025.
Hybrid electric vehicles dominated the segment with 25,737 units sold, followed by battery electric vehicles at 4,613 units and plug-in hybrid electric vehicles at 2,139 units.
Government policy has played a key role in nurturing this momentum. Under the Electric Vehicle Industry Development Act, EVs enjoy a range of incentives, including an eight-year exemption from the Unified Vehicular Volume Reduction Program, helping ease adoption for consumers and fleet operators alike.
Looking further ahead, the Department of Energy has set an ambitious goal for electric vehicles to make up roughly half of all vehicles on Philippine roads by 2040. A large-scale manufacturing investment, if realized, would not only support that target but also position the country as a more competitive player in the regional EV supply chain.