PH secures fresh commitments from Europe
The Department of Trade and Industry (DTI) has secured fresh leads and commitments from European companies to further expand their existing operations in the Philippines and to even set up their regional headquarters in the country, following another successful roadshow conducted by trade officials last week.
The roadshow, which included France, Germany, Norway and Sweden, formed part of the Philippines’ strategy to capture a bigger share of European trade and investments.
Trade Undersecretary Ponciano C. Manalo Jr. said they were able to talk to a number of German companies, including Continental AG, which supplies brakes, electronics, and other components for the automotive industry; dental prosthetics supplier Vita Zahnfabrik; and software firm SAP AG, among others.
In France, lens manufacturer Essilor, was among those that trade officials were able to meet, while in Sweden, Hennes & Mauritz AB (or H&M) and customer relationship management and debt collection firm Transcom WorldWide S.A.
While these companies already have presence in the country, the DTI continues to woo them to set up bigger facilities or make the Philippines their gateway to the Asean market.
For instance, Manalo said they invited SAP to set up its regional headquarters in the Philippines, considering that its clients, most of which are engaged in the information technology and business process management (IT-BPM) industries, are here in the Philippines, thus providing an advantage for the software company.
New companies are also being wooed as the Philippines makes a big push for manufacturing, infrastructure, aerospace, aircraft maintenance, repair and overhaul services, IT-BPM, and even tourism, Manalo added.
Total trade between the European Union and the Philippines rose by 9 percent in 2013 to 10.8 billion euros. Of this amount, 5.7 billion euros represented EU’s exports to the Philippines while the remaining 5.1 billion euros comprised the bloc’s imports.
“Trade recorded was the largest in a decade. The Philippines became EU’s 46th trading partner—three levels up compared to the year before. Meanwhile, the EU became the third largest supplier of goods to the Philippines,” the EU reported.
These trade numbers, along with the foreign direct investments, are expected to be further boosted as the EU moved to further intensify its commercial relationship with the Philippines, specifically through a possible free trade agreement and the approval of the country’s application for the new Generalized System of Preferences or the GSP+ scheme.
