Manila: Two Japanese manufacturing companies are evaluating the Philippines as a potential hub for their business operations, according to the Philippine Economic Zone Authority (PEZA).

According to Philippines News Agency, Kawamura Electric, Inc. and FRP Services and Company Japan have shown interest in exploring investment opportunities in ecozones. This interest was expressed during PEZA Director General Tereso Panga's visit to Tokyo from March 3 to 6.

PEZA reported that Kawamura Electric is looking to expand its operations in the Philippines as part of its strategy to strengthen its presence in Southeast Asia. The company views the Philippines as a strategic partner within ASEAN, largely due to its favorable trade relations with the United States, which is beneficial for export manufacturing.

Kawamura Electric has been in operation for over five decades, specializing in the production of electrical equipment such as high-voltage power installations, switchboards, and circuit breakers. The company holds the largest market share for electrical enclosures used in information technology infrastructure and data centers in Japan. It also operates seven factories and sales offices across China, Thailand, Vietnam, and Singapore.

FRP Services, on the other hand, aims to collaborate with local firms and plans to establish a presence at the TECO Industrial Park-Special Economic Zone. This initiative is intended to meet the needs of a significant client located in the Cavite Economic Zone, specifically for fiberglass-reinforced particle boards.

PEZA's Director General Panga emphasized the agency's goal of attracting new Japanese investors to consider the Philippines as their next investment destination. He also highlighted efforts to encourage existing Japanese companies to expand their operations in the country by integrating their supply chains. Panga noted that the Philippines is well-positioned to host these investments due to its advantageous conditions.