The White House has announced that United States President Joe Biden will be sending his first trade and investment mission to the Philippines. This move is part of the commitment between the two countries to strengthen their economic ties. The delegation, led by Secretary of Commerce Gina Raimondo, will be in Manila from March 11 to 12, 2024, engaging with Filipino stakeholders.
According to White House National Security Council spokesman Adrienne Watson, President Biden aims to enhance the contributions of US companies to the Philippines’ innovation economy, connective infrastructure, clean energy transition, critical minerals sector, and food security. This visit will also reinforce the Philippines’ position as a key hub for regional supply chains and high-quality investment.
The decision to send this trade mission follows President Biden’s commitment to President Ferdinand Marcos Jr. to advance US-Philippines economic ties and promote internationally recognized labor rights. The mission will also include a representative from the US International Development Financial Corp. (DFC), indicating potential assistance for the stalled Mindanao Railway Project, with financing expected from the DFC.
This trade mission curated by President Biden is significant as it comes after the signing of the 123 Agreement. This agreement allows for the transfer of information, nuclear material, equipment, and components between the Philippines and American providers, paving the way for nuclear power projects. During his meeting with President Marcos in Washington, D.C., in May 2023, President Biden described this endeavor as a “first-of-its-kind” mission.
President Marcos expressed his appreciation for the strong partnership between the Philippines and the United States, highlighting the significance of this high-level delegation visit. The visit was initiated upon the request of the Philippine administration to encourage US businesses to explore investment opportunities in key sectors identified during their meetings in the US.
The timing of the US Presidential Trade and Investment Mission’s visit to Manila coincides with the Philippines’ hosting of the Indo-Pacific Business Forum (IPBF), which is the US government’s annual commercial event in the region. The IPBF brings together top leaders from the public and private sectors to review policy developments, announce new investments, and explore partnerships.
During his engagements in the US and Japan, President Marcos secured a total of P4.019 trillion ($72.178 billion) worth of investments as of December 21. These investments consist of 148 projects, with various stages of registration and operations. The Department of Trade and Industry (DTI) has categorized the investments into business investment promotion agency (IPA) registered with operations worth P11.4 billion, business/IPA registered worth P54.75 billion, and IPA registration in progress operations worth P282.8 billion. Additionally, investments that already have a signed agreement are valued at P544.152 billion.
The visit of the US Presidential Trade and Investment Mission to the Philippines signifies the strong commitment between the two countries to enhance economic ties and promote mutually beneficial partnerships. This mission, along with the Indo-Pacific Business Forum, presents opportunities for US businesses to explore investment prospects in the Philippines and contribute to the country’s economic growth.
As the Philippines continues to position itself as a key player in the region’s supply chains and investment landscape, the visit of this trade mission is a significant step towards strengthening the relationship between the United States and the Philippines.
Source: The Manila Times
