THE Philippines is looking at generating around $100 billion worth of investments in different sectors such as energy and digital infrastructure from a meeting among President Marcos Jr., US President Joe Biden and Japan Prime Minister Fumio Kishida in Washington.
Ambassador to the US Jose Manuel Romualdez yesterday said these investments are expected to be completed in the next five to 10 years.
“The figures that I have been hearing at, this may sound a little bit expanded in a way, but we’re talking about a hundred billion in investments in the next five to 10 years. We have a lot of areas where we are putting ourselves, our economic managers are putting our country into a situation where we’re opening up our economy especially in energy, which is very important for, and also, of course, digital infrastructure, and infrastructure, physical infrastructure as also one of the other aspects of our economic package that we’d like to offer for potential investors,” he said.
Reports from Washington quoting US officials said Biden will announce new joint military efforts and infrastructure spending in the Philippines. Topping the agenda in the first-of-its-kind trilateral summit is China’s increasing pressure in the South China Sea, which has escalated despite a personal appeal by Biden to Chinese President Xi Jinping last year.
“China’s frequent tactic is to try to isolate the target of its pressure campaigns, but the April 11 trilateral signals clearly that the Philippines is not alone,” said Daniel Russel, who served as the top US diplomat for East Asia under former President Barack Obama.
Romualdez, on the projected investments, said President Marcos is excited about “an energy company’s interest in supplying small nuclear power plants in the Philippines.”
Marcos was set to meet with businessmen in the US, including executives of Ultra Safe, one of the biggest suppliers of small modular nuclear power plants.
Last year, the Philippines and the US signed the “123 agreement” that provides the legal basis for the US to export nuclear technology to the Philippines for peaceful uses.
Romualdez said the US-Philippine Society has organized dinner for the president which is expected to be attended by about 200 businessmen.
Marcos, before leaving Manila last Wednesday, said he would invite American businessmen to invest in the Philippines.
White House National Security Communications Advisor John Kirby, in a briefing, has said US Secretary of Commerce Gina Raimondo will host a discussion with her counterparts from the Philippines and Japan, on the sidelines of the meeting of the three leaders, to enhance trilateral maritime, trade and investments of the three countries.
Marcos and his delegation arrived in Washington at 7:47 p.m. on Wednesday (7:47 a.m. Thursday in Manila) for a two-day working visit.
The trip is mainly for the trilateral meeting with Biden and Kishida on Thursday afternoon (Friday before dawn in Manila). The President will also have a bilateral meeting with Biden.
He said the trilateral meeting will focus on enhancing economic and maritime cooperation of the three countries and he intends to explore ways of advancing cooperation, especially in the areas of critical infrastructure, semiconductors, digitalization and cybersecurity, among others.
TRADE PACT
Romualdez said the Philippines is looking at forging a bilateral free trade agreement (FTA) with the United States on specific areas such as cyberspace and digital technology.
In an interview, he said there are many areas that the US and the Philippines can work on.
“Specific areas — probably in the cyberspace, for instance, or in the digital technology and of course, there are many other areas that I think we can work with the United States… the United States is committed itself into … looking at the Philippines as really a major investment hub for many American companies,” he said.
He said the Philippines will seek an update from Raimondo on potential investors coming into the Philippines.
Romualdez said the Philippines is also eyeing a similar trade agreement with Japan, but did not elaborate.
MUTUAL DEFENSE TREATY
One of the US officials said Biden will affirm that a 1950s era mutual defense treaty binding Washington and Manila would require the United States to respond to an armed attack on the Philippines in the Second Thomas Shoal (Ayungin Shoal).
Marcos has successfully pushed Washington to resolve longstanding ambiguity over the treaty by specifying that it would apply to disputes in that sea.
“What you’ll see is a clear demonstration of support and resolve from both President Biden and Prime Minister Kishida that we stand shoulder to shoulder with Marcos, ready to support and work with the Philippines at every turn,” the official said.
China claims almost the entire South China Sea, including the maritime economic zones of neighboring nations.
Japan has a dispute with China over islands in the East China Sea.
The US plans a Coast Guard joint patrol in the Indo-Pacific region in the coming year as well as joint maritime training activities. Washington will also place “humanitarian relief commodities for Philippine civilian disaster response” at Philippine military bases, an official said.
More joint patrols in the coming months can be expected in the South China Sea after drills by the United States, Australia, the Philippines and Japan last weekend, another US official said.
The moves come after two prominent US senators on Wednesday introduced a bipartisan bill to provide Manila with $2.5 billion to boost its defenses against Chinese pressure.
The leaders will also discuss broader regional challenges and economic development, with new investments coming in undersea cables, logistics, clean energy and telecommunications. Facebook parent Meta and UPS are among the companies announcing deals related to the visit.
Biden’s Partnership for Global Infrastructure and Investment will back a new Luzon corridor effort in the Philippines, aimed at infrastructure projects including ports, rail, clean energy and semiconductor supply chains.
SOLIDARITY
House leaders said the trilateral summit, which Marcos called “historic,” serves as call for international solidarity in upholding a rules-based order.
Speaker Martin Romualdez is part of Marcos’ official delegation.
Deputy speaker David Suarez said the meeting aims to strengthen the enduring alliance of the three nations “while emphasizing their shared commitment to international law and order.”
“This momentous gathering not only symbolizes unity but also underscores the urgent need for global solidarity in preserving the rules-based international system… such a system forms the cornerstone of lasting peace, stability and prosperity across nations,” he said.
Senior deputy speaker Aurelio Gonzales said the trilateral meeting “served as a rallying cry for a rules-based order in the world, and is especially important amid the rising tension in the heavily disputed West Philippine Sea.”
“We all recognize that the WPS is a vital conduit for global trade, and it should remain that way,” he said.
Majority leader Manuel Jose Dalipe said, “The freedom of navigation in these waters is paramount, facilitating trade, communication and regional security. “
“The trilateral meeting aimed to enhance cooperation among the three nations to safeguard this essential right effectively,” he said.
Romualdez earlier said that given the critical role of the WPS in global trade and commerce, more countries are joining hands to ensure peace and stability in the region.
The Speaker cited the participation of various nations in the 2024 Balikatan exercises.
This year’s joint military drill between the Philippines and the United States will involve around 11,000 US troops and 5,000 personnel from the Armed Forces of the Philippines.
Additionally, troops from France and Australia are expected to participate, with 14 other ally countries serving as observers, including Japan, South Korea, India, Canada, the United Kingdom, Thailand, Singapore, Vietnam, Indonesia, Brunei, Malaysia, Germany, and New Zealand.
Other administration lawmakers noted what they said is the country’s growing influence in regional affairs.
“The acknowledgment of the Philippines as a key partner by the US and Japan is a testament to our nation’s rising stature and its contributions to regional stability, security, and economic development,” said Lanao del Norte Rep. Mohamad Khalid Dimaporo, vice chair of the House special committee on the WPS.
Dimaporo, who chairs the House committee on Muslim affairs, said the meeting in Washington, reaffirms the Philippines’ position as an “essential ally” in the Indo-Pacific.
He said Marcos’ foreign policy approach of being “a friend to all and an enemy to none” has elevated the position of the Philippines on the regional stage.
“President Marcos’ leadership has fostered strong partnerships and facilitated regional cooperation,” Dimaporo said. — With Wendell Vigilia and Reuters
