MANILA, Philippines — Capitalizing on a sharp shift in commuter demand amid volatile global oil prices, trade officials are aggressively hunting for foreign factory investments to anchor the country’s green transport transition. The Department of Trade and Industry (DTI) is intensively courting top-tier Chinese electric vehicle (EV) manufacturers to set up local assembly plants across the archipelago.
The investment push targets compact electric vehicles and electrified two-wheelers to accelerate the deep modernization of the Philippines’ public transport sector.
Trade Secretary Cristina Roque spearheaded the investment blitz on the sidelines of the APEC Ministers Responsible for Trade meeting in Suzhou, China, holding face-to-face exploratory talks with four major Chinese EV manufacturing conglomerates:
[APEC Suzhou Trade Mission] ──► DTI Targets Chinese Electric Mobility Industrialists
│
▼ (The Strategic Focus)
[Pitching Local Assembly Plants] ◄── Focuses on Compact EVs & Two-Wheeler Segments
│
▼
[Aims to Modernize Tricycles, Ride-Hailing & Logistics Fleets]
The administration is steering away from high-end luxury models, focusing instead on practical, mass-market applications. The DTI aims to secure production lines for electric motorcycles to phase out noisy gas-powered tricycles, alongside compact EVs optimized for regional logistics networks (like Lalamove) and localized public transit routes.
Among the key targets are Jiangsu Nwow Technology, which already exports e-bikes to the Philippines, and Shanghai Launch Automotive Technology, which has successfully initiated local manufacturing via a strategic partnership with heritage brand Francisco Motors.
To ensure that incoming factory supply is matched by strong local buying power, the DTI concurrently executed a major financial rollout on Monday at its headquarters in Makati:
[ E-TRANSPORT CREDIT ARCHITECTURE ]
│
┌─────────────────────────────────┴─────────────────────────────────┐
▼ ▼
[ REVENUE INTAKE & DISBURSAL ] [ LOAN ACCESS BENCHMARKS ]
• Awarded an initial **₱30 million in loans** to 10 prominent • Small operators can borrow up to **₱1.5 million per unit**
public transport cooperatives (e.g., Arca Guadalupe). to purchase modern electric public utility vehicles (e-PUVs).
• The funds allow each cooperative to immediately acquire up • Carries a highly competitive **6.7 percent annual interest**
to two electric jeepney units to pilot on active routes. with a flexible 5-year repayment window.
The credit line, managed by the DTI’s micro-lending arm, the Small Business Corp. (SB Corp.), has drawn massive interest from fleet operators, including motorcycle ride-hailing giant Angkas. Demand is pacing so fast that the program’s initial ₱2-billion capital allocation is already nearing full exhaustion, prompting Secretary Roque to confirm that the agency is preparing to replenish the fund.
The urgency behind the EV transition has intensified due to prolonged geopolitical conflicts in the Middle East, which have driven local fuel prices to historic highs.
| Operational Metrics | Traditional Internal Combustion Engine | Electrified Vehicle Alternative | Cost Savings Advantage |
| Daily Energy / Fuel Expense | ₱1,200 to ₱1,500 daily (Subject to global oil shocks) | ₱250 to ₱400 daily (Stable domestic grid charging) | 33% to 80% reduction in daily operating overhead for drivers. |
To solidify this financial cushion for transport workers, the DTI is drafting a Memorandum of Understanding (MOU) alongside the Philippine Guarantee Corp., Social Security System (SSS), and Pag-IBIG Fund. By combining state guarantees with long-term sovereign retirement funds, the upcoming framework will establish a highly accessible, low-risk commercial bank financing pipeline—ensuring that everyday jeepney drivers and transport cooperatives can transition away from fossil fuels without drowning in unmanageable debt.
