Phl, RoK biz groups seal deal to deepen economic ties

Premiere business organizations of the Philippines and the Republic of Korea on Wednesday signed agreements in various key industries, demonstrating a significant expansion of economic cooperation between the two nations.

The signing of said accord took place during the Philippines-South Korea Business Forum, which was also graced by President Ferdinand R. Marcos Jr. at Conrad Hotel.

Pacts sealed in key sectors

During the event, the President said he was happy to note that the Philippine Chamber of Commerce and Industry (PCCI) and the Federation of Korean Industries have sealed pacts in key sectors, including shipbuilding, nuclear energy, aerospace, critical minerals supply chains, retail, and health and wellness.

He said the signed business agreements “demonstrate the enthusiasm of our private sectors to deepen our strong economic relations.”

“All of these will ripple into significant partnerships that will generate projects, investments, and livelihoods,” the President added, as he addressed business leaders from both the Philippines and Korea at the forum

Expanding cooperation with Manila

The President noted that South Korean President Lee Jae Myung’s presence underscored Seoul’s commitment to expanding cooperation with Manila.

“We are grateful to the Republic of Korea for being a steadfast partner in this journey. Because of the confidence you have placed in our country, foreign direct investments have grown through the decades,” President Marcos said.

Long-standing relationship

He stressed that the newly signed agreements build on a long-standing relationship anchored on mutual respect, cultural exchange, and sustained economic collaboration.

“In a rapidly changing world, resilience is built not in isolation, but in partnership,” the President said, expressing confidence that the deals will help both nations secure a competitive and self-sustaining future.

The Philippine leader assured investors that the administration has been implementing economic reforms to strengthen investor confidence, improve ease of doing business, and ensure inclusive growth.

In expressing gratitude to the PCCI and the Federation of Korean Industries for facilitating collaboration between business leaders from both countries, the President said, “Your collaboration exemplifies the very partnership we seek to cultivate — one grounded in initiative, coordination, and purpose.

As we move forward, let this gathering give rise to partnerships that are both profitable and purposeful.”

For his part, PCCI President Perry Ferrer said the country’s trade and economic relationship with South Korea has evolved into a strategic and forward-looking partnership anchored in complementary strengths.

He said the Philippines consistently counts Korea among its top trading partners, with bilateral trade covering electronics, semiconductors, machinery, transport equipment, mineral resources, and agricultural products such as bananas and pineapples.

Philippine exports, on the other hand, support Korea’s advanced manufacturing sector, while Korean exports contribute to the Philippines’ industrial upgrading and consumer market growth.

Shaped key Philippine sectors

“Korean investments have significantly shaped key Philippine sectors, including infrastructure, shipbuilding, energy, electronics, automotive, telecommunications, and construction. Major Korean conglomerates have helped modernize transport systems, power generation facilities, and digital connectivity, supporting the Philippines’ broader development agenda. In turn, Philippine enterprises are increasingly exploring opportunities in the Korean market, particularly in agri-business, IT-BPM services, and creative industries,” he said.

He stressed that the entry into force of the Philippines-Korea Free Trade Agreement marked a milestone in bilateral relations, as it enhances market access, reduces tariffs, strengthens intellectual property protection, and promotes cooperation in emerging sectors such as e-commerce, innovation, and green technology.

Leading FDI and ODA source

“The Republic of Korea is among the Philippines’ leading sources of foreign direct investment (FDI) and official development assistance (ODA). Through agencies such as the Korea International Cooperation Agency, Korea has supported infrastructure modernization, rural development, education, and digital transformation initiatives. These programs complement private sector investments and reflect a long-term partnership built on trust and shared development goals,” Ferrer disclosed.

South Korea has emerged as a leading source of FDI to the Philippines in late 2025, with $897 million in total net inflows in November, largely directed toward the manufacturing sector.

The country was consistently among the top sources of equity capital for the January–November 2025 period, according to the Bangko Sentral ng Pilipinas.