MANILA, Philippines - The Philippine government is expected to bring home $2 billion worth of new investments from China during President Aquino’s state visit on Aug. 31 to Sept. 3, the Philippine Chamber of Commerce and Industry (PCCI) said.
“Our marching order was to secure $2 billion worth of investments for the trip,” PCCI president Francis L. Chua told reporters in an interview over the weekend.
Chua said they already have the committed $2 billion investments, including one worth $1 billion.
China, through its China ASEAN fund, is looking at more investment opportunities in the Philippines. It already has a $100-million stake in Negros Navigation Co. (Nenaco) and Aboitiz. “They are seeking opportunity to invest more. It will definitely be more than $100 million,” Chua said. The fund is co-owned by the Bank of China and the China Import Export Bank.
Aside from the fund, Chua said another committed investment is worth $200 million from Ruian Dongfang Auto Parts Co. Ltd. with a local partner.
Ruian Dongfang is a manufacturer and exporter of auto parts. Established in 2006, it is located in Ruian - the capital of auto parts in China. It has an annual sales volume of auto parts worth more than $5 million. The product line includes fuel system, electric fuel pump,fuel pump assembly/fuel module, mechanical fuel pump, car A/C parts, electric fan, evaporator, condensor, radiator, water pump, auto electric parts, starter motor, IAV valve, ignition coil, ignition module, voltage regulator, auto sensor, car body parts, auto lamp, front grille, bumper, auto bearing: clutch bearing, belt tensioner, pulley, and auto accessories, wiper blade, HID kits.
Another investment is for a $300 million rubber tire factory that will require 100 to 200 hectares of land.
A $300 million nickel processing plant running nickel iron ore to semi-finished construction is also on the list. The firm will likewise construct their own power unit. The investment will most probably be in Zambales.
Still another investment is by Luen Thai International Group Ltd. which is investing $20 million to $30 million for an apparel manufacturing facility in Bataan, their fourth biggest plant in the Philippines, which will employ 4,000 to 6,000 people.
However, this investment was already signed weeks earlier in the Bataan Freeport when Luen Thai International president Raymond Tan visited the area.