Cebu is seeking to diversify its investment base toward manufacturing as the province looks to reduce its dependence on the services sector and generate new employment opportunities, according to an investment official.
Bryan To, a consultant to the Cebu provincial government, said the province is pursuing foreign investments in manufacturing and other emerging industries amid concerns over service-sector companies leaving Cebu.
In an interview with the Cebu Economic Journalists Association, To said the shift is aimed not only at attracting new capital but also at creating a broader economic base that can generate jobs and support related sectors such as housing, education and health care.
‘We have to do something to mitigate,’ To said, referring to the potential impact of service companies leaving Cebu and the jobs and livelihoods tied to the sector.
He said simply recycling the same industries would not be enough and that the province needs to look for new opportunities and technologies.
One of the potential investments being explored is in electric-vehicle manufacturing, with an Association of Southeast Asian Nations (Asean)-based company considering Cebu as a possible test site for electric motorcycles.
The company is involved in the production of motorcycle parts, assembly and batteries, according to the Cebu Capitol consultant, who said the proposed venture could provide an opportunity for Cebu to develop manufacturing capabilities in the emerging EV industry.
To, however, declined to identify the company or disclose specific investment details, saying its chief executive is expected to make the formal announcement during the upcoming economic forum.
The province’s investment push comes as foreign investors from several countries show interest in Cebu.
To said the three previous investment forums had attracted participants from China, South Korea, Oman, Russia, and Europe, while Vietnam and Singapore have also expressed interest.
He estimated that about P4 billion in investments had been generated from the investment forums since the initiative began, with the investments largely focused on development and infrastructure rather than tourism.
Still, Cebu’s bid to attract more manufacturing investments faces infrastructure concerns, particularly power. To said investors typically consider labor, energy and water costs when evaluating potential investment destinations. The province is therefore looking at alternative energy technologies as part of efforts to improve its competitiveness.
The investment strategy is also being supported by efforts to streamline transactions for prospective investors.
Paulo Uy, the province’s investment and promotions officer, said the planned investment promotions office will establish an ease-of-doing-business help desk that will assist investors with bureaucratic requirements and route documents to the appropriate government offices.
The province is also exploring the development of idle government properties for investment, including a planned mega food hub on the Balili property in Naga City, southern Cebu, Uy said.
For Cebu, the objective is to move beyond traditional investment areas and attract new industries that can provide jobs, technology, and longer-term economic activity.
‘We have the workforce. We have motivated people. We have multilingual people. We have an adaptable workforce. Retrainable. Very quickly,’ To said, arguing that the province’s challenge is to match that workforce with new investment opportunities.