Trade chief: Manufacturers quit China for Philippines

MANILA, Philippines—Philippine officials said rising labor costs in China’s southern coast are driving big foreign manufacturers to relocate to the country.

Trade Secretary Gregory Domingo said Tuesday there has also been “very strong” interest from Japanese investors who are looking for tracts of land in Philippine export processing zones. They include electronics, ship building and steel companies.

Domingo said investors relocating to the country include foreign garments factories closing in China. He said a big company which left the Philippines has decided to return, while another one is seriously considering coming back.

The country is seeing “the most we’ve ever seen” of investor fact finding missions this year, he said.