20 Japanese firms in China eye relocating operations to PH in 2016 Posted on December 28, 2015 by Ron E.J. Carleon

Home » PHILIPPINES » Philippine Economy » 20 Japanese firms in China eye relocating operations to PH in 2016 20 Japanese firms in China eye relocating operations to PH in 2016 Posted on December 28, 2015 by Ron E.J. Carleon 19778 REACTIONS FacebookTwitterSubscribe At least 20 Japanese companies are planning to relocate operations from China to the Philippines next year Japanese investors are considering the country’s ‘manpower stability’ as the primary motivations for the move These firms are more likely to establish operations in Cavite, Batangas or Laguna MANILA, Philippines – At least 20 Japanese firms are planning to transfer plant operations from China to the Philippines next year mainly due to the ‘manpower stability’ in the country; this was according to Philippine Exporters Confederation Inc. (Philexport). In fact, Philexport trustee Francisco Ferrer said, some of these firms have already started moving this year to the Philippines and more are likely to follow suit in 2016. “There are renewed interests among the Japanese companies especially those that are located in China to transfer (their bases) from China to the Philippines or to Vietnam or Indonesia,” said Ferrer. He cited China’s increasing labor wages and the remarkable quality of the Filipino talent pool as the primary motivation for the exodus of companies from Beijing to the country. “(Wages here are) steady, our history will tell us that increases in wages here are not drastic. That is very useful if you are in manufacturing because you can plan better on your costs, how much you are going to sell your products; you can project,” the Philexport official explained. Japanese investors have been considering the country’s ‘manpower stability’ in the Philippines, Ferrer further noted. “While they are watching the policies of the government, they do not want inconsistent policies, their ultimate requirement is still good, productive workers. (They also prefer) improved infrastructure so movement of products will be cheaper,” he added. If the plan materialized, each company is expected to invest between $20-M to $100-M, and at the same time generate as much as 25,000 more jobs for the local industry. Ferrer added most of these companies are eyeing plant relocations to Laguna, Batangas and Cavite where support industries are located. Source :Tribune, Manila Bulletin, Philstar, Update.ph 19778 REACTIONS FacebookTwitterSubscribe