Industry and Retail

The Philippines has lagged behind its neighbours in developing trade ties, with only 32% of its GDP coming from exports. Exports fell in 2011 as well, although investment in manufacturing over the past two years may reverse this trend in the medium term. Electronics are a major production category, accounting for 51% of exports, with automobiles another strong sector. The Philippines is also looking to grow as a manufacturer of solar panels and components. Major challenges to boosting industry include corruption and infrastructure issues, including high energy prices. This chapter includes interviews with Gregory L Domingo, Secretary, Department of Trade and Industry (DTI); and Lilia de Lima, Director-General, Philippine Economic Zone Authority (PEZA).