Around 30 Tier 1 suppliers of Samsung Electro-Mechanics are expected to visit the Philippines in October to assess opportunities for setting up manufacturing operations, giving the country a potential boost to its semiconductor and electronics supply chain.

The Philippine Economic Zone Authority (PEZA) said the supplier visit is part of efforts to support the ₱50.7-billion expansion of Samsung Electro-Mechanics Philippines Corp. and attract companies that can build around the Korean electronics giant’s growing Philippine operations.

PEZA Director General Tereso O. Panga said the agency is targeting not only major investors but also the suppliers and partners that support their production networks.

“As our major Korean locators expand, PEZA wants to capitalize on the opportunity to bring more of their supply chains to the Philippines. This creates a multiplier effect—more investments, stronger local industry linkages, additional exports, and more high-value jobs for Filipinos,” Panga said.

The supplier pipeline emerged from PEZA’s three-day investment mission to South Korea from Aug. 25 to 27, which included meetings with electronics manufacturers, semiconductor suppliers, industrial firms and other prospective investors.

During the mission, PEZA also met with companies supplying Samsung Electro-Mechanics, including manufacturers of semiconductor and PCB chemicals, precision industrial components, cutting tools and other specialized products.

The agency said these companies are assessing the Philippines partly because of the opportunity to locate closer to Samsung Electro-Mechanics’ expanding operations.

PEZA also sees an opportunity to attract manufacturers already operating in Vietnam that are considering additional or backup production facilities as companies diversify their supply chains across Southeast Asia.

The agency said the Philippines could benefit from rising business costs and limited industrial space in Vietnam, as well as what investors see as competitive incentives and reliable power supply in key economic zones.

South Korea was PEZA’s top source of investment among its economic zones in 2024. More than 180 Korean-owned or Korean-linked companies currently operate in PEZA zones, with combined investments exceeding ₱120 billion and more than 43,000 Filipino workers.

Panga said the agency will continue working with Philippine investment offices in Korea and private-sector partners to turn the growing list of Korean prospects into actual manufacturing projects.

META DESCRIPTION: Around 30 Samsung Electro-Mechanics suppliers are expected to visit the Philippines in October to assess manufacturing opportunities and expand the local electronics supply chain.