Some 68 automotive companies have invested a combined PHP100 billion since 2007 and provided direct employment to more than 50,000 Filipino workers, the Philippine Economic Zone Authority (PEZA) reported.
Tereso O. Panga, PEZA director general, cited the automotive sector’s enduring contribution to national industrial growth and in strengthening the sector’s ecosystem for the past 18 years as he graced the recent Toyota Motor Philippines’ 26th Regular Update Meeting of the Toyota Special Economic Zone (TSEZ).
“As of 2024, PEZA hosts 68 automotive companies, which have collectively invested more than PHP 100 billion since 2007 and provided direct employment to more than 50,000 Filipino workers,” said Panga in a statement.
The Toyota event brought together leaders and representatives from Toyota Motor Philippines Corporation (TMP), led by President Masando Hashimoto, along with various locators and export suppliers from the Toyota Group operating within the TSEZ.
The Director General also noted that TMP’s approach of embedding its supply chain in the Philippines mirrors PEZA’s own vision of cultivating ecosystems within its ecozones, where manufacturers and their downstream partners can operate seamlessly and competitively. With this enabling support, TMP is bullish about their continued growth in the Philippines given the strategic importance of the country being Toyota’s 10th largest global market and 5th largest market in the Asia-Pacific region.
During the dialogue, the companies presented a comprehensive review of their 2024 performance and shared a positive outlook for 2025. They also expressed their appreciation for PEZA’s steadfast support, enabling them to sustain their operations and continue expanding within the Philippines’ investment landscape.
The meeting underscored PEZA’s ongoing collaboration with the private sector and provided avenue for TMP and its partners to raise forward-looking recommendations aimed at strengthening their export operations.
Key concerns shared included the CREATE MORE incentives, clarification on VAT-related matters, and the potential impact of evolving global trade dynamics particularly tariffs imposed under the Trump administration. The companies also sought PEZA’s continued advocacy and coordination with the Department of Trade and Industry (DTI) and other key agencies to support the competitiveness of the local automotive sector.
Panga emphasized the ongoing initiatives of PEZA and the Marcos Jr. administration to support the continued growth of the automotive sector in the country.
He said, “The Philippine government is proactively working to build a robust and competitive automotive supply base. This includes strategic efforts such as negotiating more favorable tariff regimes under Most-Favored Nation (MFN) terms, attracting key manufacturers looking to diversify from China under the China +2 strategy, and expanding the country’s Free Trade Agreement (FTA) network with key economies like the European Union, India, and Canada.”
