Philippines to Flourish in Semiconductor Industry with US CHIPS Act Support

President Ferdinand “Bongbong” Marcos Jr. recently shared his optimism about the future of the Philippines’ semiconductor industry, attributing potential growth to the support extended by the United States through its CHIPS Act. The act, designed to enhance semiconductor research and manufacturing in the US, is expected to have ripple effects benefiting the Philippines, particularly in nurturing a skilled workforce.

During a meeting with the US government and Presidential Trade and Investment Mission (PTIM) delegation, President Marcos highlighted the Philippines’ ambition to develop a significant talent pool in the semiconductor field. He projected the country would produce approximately 128,000 semiconductor engineers and technicians by 2028, aimed at fulfilling the demands of the advancing technology sector.

The CHIPS Act, emphasizing bolstering the semiconductor industry crucial for various technologies from consumer electronics to defense systems, could offer a substantial boost to the Philippine semiconductor sector. President Marcos underscored the Philippines’ readiness to partake in research and development efforts and support operations beneficial to US companies.

With a proposition for US semiconductor companies to establish a laboratory-scale wafer fabrication facility in the Philippines, Marcos envisions enhanced R&D capabilities and support for advanced semiconductor manufacturing processes. This initiative is expected to empower Filipino professionals to work on innovative projects, including integrated circuits prototyping and high-value product development, thus fostering a technology-driven economy.

Moreover, President Marcos urged American investors to engage in the Philippines’ “Build, Better, More” program, which plans to launch 198 high-impact priority infrastructure projects valued at USD 148 billion (PHP 8.8 trillion). This ambitious infrastructure initiative, alongside opportunities in energy sector development and critical metals exploration, aims to transform the Philippine economy through substantial US investment.

The visit of the US mission to Manila symbolizes a commitment made by US President Joe Biden to President Marcos during his state visit to Washington, D.C., in May 2023, aiming to strengthen investment and trade relations between the two nations. With the US ranking as a top trading partner for the Philippines, the collaboration under the CHIPS Act and other investment ventures promises to elevate the Philippines’ position in the global semiconductor and technology industries.