Like many of its neighbours, the Philippines’ economy has been evolving towards a more value-added economic model, following in the path of Japan, South Korea and Taiwan. Unfortunately, a number of factors have so far limited the pace of this transition and the country still lags behind many of its regional peers, despite the benefits of increasing regional and global trade. While fellow ASEAN members Malaysia, Thailand and Vietnam have managed to boost the contribution of exports to GDP to…
Industry and Retail
From The Report: The Philippines 2012
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The Philippines has lagged behind its neighbours in developing trade ties, with only 32% of its GDP coming from exports. Exports fell in 2011 as well, although investment in manufacturing over the past two years may reverse this trend in the medium term. Electronics are a major production category, accounting for 51% of exports, with automobiles another strong sector. The Philippines is also looking to grow as a manufacturer of solar panels and components. Major challenges to boosting industry include corruption and infrastructure issues, including high energy prices.
This chapter includes interviews with Gregory L Domingo, Secretary, Department of Trade and Industry (DTI); and Lilia de Lima, Director-General, Philippine Economic Zone Authority (PEZA).