Japanese firms pledged P56.3 billion worth of expansion projects in the Philippines during Pres. Ferdinand Marcos Jr.’s state visit to Japan, with several investments focused on artificial intelligence infrastructure, semiconductors, advanced electronics, and digital manufacturing.
The projects involve Furukawa Electric Co. Ltd., Sumitomo Electric Co. Ltd., MinebeaMitsumi Inc., and Tsuneishi Group Corporation, according to the Department of Trade and Industry (DTI).
Among the largest technology-related investments is Furukawa Electric’s planned P17-billion expansion in Laguna Technopark, which will manufacture advanced heat sink modules and thermal management products used in data centers and high-performance computing systems.
The company said the expansion is aimed at addressing rising global demand for cooling systems used in generative artificial intelligence and digital infrastructure.
The project forms part of Furukawa Electric’s broader capital expenditure program worth approximately JPY55 billion, or around P20 billion, covering investments in the Philippines and overseas operations.
“As industries worldwide invest in AI and digital infrastructure, the Philippines must also strengthen its position in high-value manufacturing,” Department of Trade and Industry (DTI) secretary Cristina Roque said.
“Furukawa Electric’s investment in advanced heat sink modules and other thermal management products used in AI applications, data centers, and digital infrastructure supports that direction by creating jobs, facilitating technology transfer, and expanding local capabilities in advanced electronics production,” she added.
MinebeaMitsumi also announced the expansion of its semiconductor and advanced electronics operations in the country, including the production of battery-related components for data centers and optical image stabilization technologies used in electronic devices.
Meanwhile, Sumitomo Electric is investing P4.3 billion for a new electronics manufacturing facility in Cabuyao, Laguna through its Philippine subsidiary First Sumiden Circuits, Inc. (FSCI).
The new 4,706-square-meter facility will manufacture flexible printed circuits and surface mount technology assembly products used in smartphones, automotive electronics, telecommunications equipment, medical devices, wearable technologies, and other next-generation electronic systems.
Commercial operations are targeted to begin by April 2027.
The DTI said the project aligns with the government’s target of increasing semiconductor and electronics exports to $110 billion by 2030 while expanding the country’s role in higher-value electronics manufacturing.
Roque said the investments underscore the Philippines’ growing role in advanced manufacturing, electronics, artificial intelligence, and digital infrastructure.
“The projects secured during the President’s State Visit will translate into more jobs, stronger manufacturing capabilities, and greater participation of Filipino enterprises in global value chains. This also highlights the Philippines’ growing role as a strategic hub for advanced manufacturing, AI, electronics, and industrial production in the region,” she said.
