The Luzon Economic Corridor (LEC), a major initiative under the trilateral cooperation among the Philippines, Japan, and the United States, received a further boost with new support from the Government of Sweden. Through Swedfund International, Sweden is providing grant financing for a feasibility study that will focus on signaling systems and operational models for the Subic-Clark-Manila-Batangas (SCMB) Railway Project, the LEC’s anchor infrastructure initiative.

The agreement between Swedfund and the Department of Transportation (DOTr) was formally presented at Malacañang Palace, witnessed by officials from both governments and key economic agencies.

“This partnership between the Philippines and Sweden advances the President’s vision of developing globally competitive logistics infrastructure that will drive investment and inclusive growth,” said Special Assistant to the President for Investment and Economic Affairs Frederick D. Go, who delivered the keynote address during the ceremony.

Go emphasized that the SCMB Railway is envisioned as a transformative project that will modernize freight transport, boost trade efficiency, and generate jobs across Luzon—connecting the major ports of Subic, Manila, and Batangas to strengthen logistics and supply chain networks.

Swedish Ambassador to the Philippines Anna Ferry welcomed the collaboration, describing it as “a remarkable example of synergies and cooperation between public and private efforts.

“We are proud to support the Philippines’ development goals with Swedish technology and expertise in transportation and provide a boost for sustainable growth and opportunities,” she added.

Acting Transportation Secretary Giovanni Lopez expressed gratitude for Sweden’s contribution, noting that “this project will strengthen the country’s logistics and supply chain by providing a dedicated freight transport system connecting major ports with industrial and economic zones.” He said the project, once realized, would lower logistics costs, enhance trade efficiency, and support the administration’s goal of building a more connected and competitive economy.

The Swedish grant complements the U.S. Trade and Development Agency’s (USTDA) funding support announced in June 2025, which finances parallel studies on transport modeling, port–rail integration, and institutional planning. The Asian Development Bank (ADB) will oversee the procurement of consultants for the main feasibility study.

The Luzon Economic Corridor serves as a strategic growth corridor under the Philippines–Japan–U.S. trilateral framework, designed to enhance connectivity, promote sustainable industrial development, and attract investments in key economic zones across Luzon.