The Philippine delegation to Japan, led by Finance Secretary Ralph G. Recto, engaged with top executives of Japanese companies on June 19, 2024 to invite them to expand their presence in the Philippines. Among the Japanese companies were Sojitz Corporation, Mitsubishi Corporation, Murata Manufacturing Co., Ltd., and Sumitomo Corporation. The Marcos administration continues to build momentum by attracting investments in a business environment that promotes and encourages business growth. Indeed, a number of Japanese firms expressed their intention to expand their operations in the Philippines.
"One company alone is [investing] roughly P46 billion. Most of them have investments in Batangas," Finance Secretary Ralph Recto said. The finance chief led a delegation to Japan and met with top executives of Japanese companies to invite them to expand their presence in the Philippines.
The Department of Finance said the meetings were organized by the Department of Trade and Industry's Tokyo field office and held on the sidelines of the Philippine Economic Briefing in Japan.
Among the Japanese companies were Sojitz Corporation, Mitsubishi Corporation, Murata Manufacturing Co., Ltd., and Sumitomo Corporation. Sojitz Corporation is involved in many global businesses, including manufacturing, selling, importing, and exporting various products.
It operates diverse businesses in the Philippines, from commodities trading to several investment projects in agriculture, food, telecommunication, infrastructure, property development, automotive, and mining.
Mitsubishi Corporation, meanwhile, is a global integrated business enterprise involved in project development, production, and manufacturing.
In the Philippines, Mitsubishi handles the export and import of various products, consumer market activities, infrastructure, and renewable energy development.
Murata Manufacturing Co., Ltd specializes in ceramic-based electronics research and development, manufacturing, and sales.
The Philippine Manufacturing Co. of Murata Inc. (PMM) in Batangas is Murata's largest production site in Asia. It primarily produces multilayer ceramic capacitors.
Sumitomo Corporation engages in multifaceted business activities, including product and service sales, import and export, and domestic and international business investment.
Sumitomo's investments in the Philippines include the First Philippine Industrial Park in Batangas, which hosts approximately 150 manufacturing industries.
It has supported the country's railway projects, including MRT-3, LRT-1, the Metro Manila Subway, and the North-South Commuter Rail.
Joining Recto in Japan were Office of the Special Assistant to the President for Investment and Economic Affairs Secretary Frederick Go; Budget Secretary Amenah Pangandaman; National Economic and Development Authority Secretary Arsenio Balisacan; Department of Trade and Industry (DTI) Secretary Alfredo Pascual; and Department of Transportation Secretary Jaime Bautista.
Also present were Department of Energy Undersecretary Felix Fuentebella; Bangko Sentral ng Pilipinas Deputy Governor Francisco Dakila Jr.; Bases Conversion and Development Authority president and chief executive officer Joshua Bingcang; and Philippine Ambassador to Japan Mylene Garcia-Albano.
Meanwhile, Pascual said the Marcos administration ensures a business environment that promotes and encourages foreign investments.
"We are enacting recent policy reforms that strategically broaden the participation of foreign companies in key sectors of the Philippine economy," he said during the Philippine economic team's meeting with Sojitz Corp., a sogo shosha or general trading company.
He said one of these reforms is the more efficient value-added tax (VAT) regime through the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy Bill, which recently gained second-reading approval in the House of Representatives.
He said this bill is the administration's response to one of the concerns of Japanese investors regarding VAT incentives.
In addition to upcoming legislation, he said the DTI has established the One-Stop Action Center for Strategic Investments, or the green lane, for investments with a big economic impact.
Pascual told Sojitz executives that, as of the end of May this year, his office had endorsed 68 projects with an investment value of $35 billion under the green lane for faster processing of their permits and licenses in national government agencies and local government units.
"The DTI extends a warm invitation to Japanese businesses to explore the vast opportunities within the Philippine market. With a strong economic foundation, a commitment to a transparent and investor-friendly environment, and a shared vision for a sustainable future, the Philippines stands ready to solidify its position as a strategic partner for Japan," he said.
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