Uniliver opens Cebu facility to boost Vismin supply chain

CEBU, Philippines — Unilever Philippines is expanding its manufacturing footprint in the country with a new collaborative facility in Cebu aimed at strengthening supply to the Visayas and Mindanao, as consumer goods companies push to localize production and cut logistics costs.

The 1,600-square-meter site in Mandaue City will produce liquid home care products, including Surf fabric conditioners and Fabclean liquids, helping the company respond more quickly to demand outside Luzon.

The Cebu plant marks Unilever Philippines’ first manufacturing facility beyond the country’s main island of Luzon and follows the opening of a production site in Cavite in 2023, part of a broader strategy to position factories closer to key consumer markets.

“Collaborating with local partners is essential to building a more agile and resilient local supply chain,” said Van Nguyen-thi-bich.

“It allows us to serve Filipino households faster and more efficiently while supporting regional economies.”

The move reflects a wider shift among fast-moving consumer goods companies operating in the Philippines, where high inter-island transport costs and supply disruptions have encouraged firms to decentralize production.

By locating manufacturing in Cebu, Unilever expects to shorten delivery times, reduce transport costs and lessen reliance on sea shipments from Luzon to the Visayas and Mindanao.

The company said the setup will also help cut logistics-related emissions and ease congestion at major ports, supporting its long-term net-zero targets.

The facility will use the company’s digitalized Unilever Manufacturing System, a production framework that incorporates analytics and artificial intelligence to improve efficiency and supply chain responsiveness.

According to Navdeep Singh, the distributed manufacturing model will enable faster product availability while strengthening the broader consumer goods ecosystem in regional markets.

“This collaborative manufacturing facility expands a more distributed production footprint across the country,” Singh said, adding that it will help deliver faster logistics and lower the company’s overall carbon footprint.

The Philippines remains among the faster-growing consumer markets in Southeast Asia, with steady demand across personal care, beauty, food and home care categories. Unilever says its products reach about nine in 10 Filipino households.

The expansion also comes as the company approaches a milestone: in 2027, Unilever Philippines will mark 100 years of operations in the country, where it has built one of its largest consumer bases in the region. — (FREEMAN)