CHINESE ACCESSORIES company DXHIC said it plans to open a bag manufacturing facility in Subic in the Philippines before the third quarter ends.
Sloan Shao, co-owner of DXHIC said in a statement that its Philippine unit, Good Manufacturing PH Leathers, Inc., will seek to take advantage of the Philippines’ role as a gateway to regional markets, as well as its accessibility to Guangdong Province, DXHIC’s home base.
He cited “the locational advantage of the Philippines at the heart of ASEAN (Association of Southeast Asian Nations) and (its) proximity to (Southern China).
He added that the Philippine workforce is viewed as “dependable.”
The new factory is expected to eventually export to global markets, including Europe.
By the end of this year, the new factory is expected to generate around 1,200 jobs, rising to 5,000 over the medium term.
“The Subic facility… will feature some top-of-the line equipment to ensure fine quality demanded by the luxury accessories market,” Mr. Shao said.
Trade Undersecretary Ceferino S. Rodolfo said companies from southern China’s manufacturing heartland can aid the Philippines in its industrial transformation.
He noted that the Philippines is keen to “position itself as ASEAN’s regional hub for smart manufacturing and services, attracting sectors such as renewable energy, telecommunications infrastructure, hyperscale data centers, green metal processing, electric vehicle battery and assembly, smart manufacturing, and agriculture.”
China was the Philippines’ top trading partner with trade valued at $39.14 billion in 2022, up 2.32%. — Justine Irish D. Tabile