China’s Yadea eyes PH assembly line
MANILA -Yadea Technology Group Co. Ltd, China’s largest maker of electric motorcycles, is looking to establish a manufacturing line in the Philippines, marking its first foray into the country’s vehicle production sector.
Philippine Economic Zone Authority (Peza) Director General Tereso Panga on Thursday said the Hong Kong-based listed Chinese firm had already discussed initial plans with them, citing that production could start as early as next year if things go smoothly.
“They met with us already. They are scouting for a location,” Panga told reporters on the sidelines of an international trade forum organized by the Department of Trade and Industry (DTI) at Shangri-La The Fort in Taguig City.
“They have yet to file an application with us. But they already signified that they are serious in filing their application with Peza,” he added.
Panga said he had visited and seen Yadea’s manufacturing plant in Vietnam, adding that China’s electric two-wheeler brand uses hi-tech equipment—including robotics—in their assembly lines.
Aside from Yadea, Panga said another firm based in the United Kingdom is also looking into investing in the local electric vehicle industry, particularly in the production of batteries for these environment-friendly vehicles.
These potential investments in the Philippines’ electric vehicle sector will follow last month’s signing of an agreement between Ayala Corp. subsidiary Integrated Micro-Electronics Inc. (IMI) and United States electric motorcycle manufacturer Zero Motorcycles Inc.
The two agreed to establish a manufacturing plant in the Philippines—a pioneer venture in the local assembly of electric two-wheeled vehicles.
The DTI said the US firm had agreed to subcontract its electric motorcycle assembly and other related sub-assemblies to IMI, including its battery and motor production lines.
The government agency added that the agreement projects an annual revenue of $65 million and investments of $250 million over the next five years.