What are some of the agreements that Philippine President Duterte signed for the Chinese Belt and Road Initiative?
- Green Textile Industry Park
- Proposed Development of an Iron Processing Plant
- Development and Operation of a Petrochemical Refinery Processing Plant Complex
- Cooperation in Energy Projects
- Cooperation in the Construction and Development of Exclusive Hotels and Clubs
Philippine-Chinese businesses in the Philippines will strengthen even more due to agreements that Philippine President Rodrigo Duterte signed for China’s Belt and Road Initiative (BRI). These agreements will allow for Chinese and Filipino businessmen to work together in order to further develop certain Philippine industries. Some of these industries are the manufacturing industry, renewable energy industry, and the hospitality industry.
Read on to learn about five agreements that Philippine President Rodrigo Duterte signed for the Belt and Road Initiative (BRI).
Green Textile Industry Park
Official Title: Proposed Green Textile Industry Park in the Cagayan Special Economic Zone and Freeport
The Green Textile Industry Park will be a 2,000-hectare park home to a Textile Manufacturing Plant, a Sludge Incineration Eco-Friendly Thermal Power Plant, a Waterworks System, and a Sewage Treatment Plant. These aim to create eco-friendly alternatives to a number of manufacturing processes popular in the Philippines.
The textile industry in the Philippines is one of the most prevalent industries around the regions. Textiles are used to create t-shirts, shoes, bags, and other popular products. Each region has its own specific style when decorating their textiles. Green textiles are processed and manufactured with minimal impact on the environment. This park aims to maintain the quality of Philippine textiles while using a more eco-friendly process. Besides providing alternative processes, other agreements include the introduction of new kinds of processing plants to help further develop Philippine products.
Proposed Development of an Iron Processing Plant
Official Title: Proposed Development and Operation of an Iron Processing Plant
This specific agreement aims to develop an Iron Processing Plant in the province of Agusan Del Norte. The Philippines is also very much involved in the metal industry, creating high quality and durable types of metals that are used in a variety of industries. These industries include construction, automobile manufacturing, power generation and distribution.
An iron processing plant will be used to smelt iron ore into a form that can be shaped into different iron products. This is a huge investment as iron processing requires a variety of special equipment to accomplish. Professional workers also need to be hired due to the specialized processes that come with iron processing. The development of processing plants such as this will help further refine Philippine materials into world class products.
Development and Operation of a Petrochemical Refinery Processing Plant Complex
Official Title: Development and Operation of a Petrochemical Refinery Processing Plant Complex
By tapping into the Philippines’ natural resources, the BRI aims to develop a petrochemical refinery processing plant complex in Tubalan Cove Business and Industrial Park. Petrochemical refinery is a process that separates compounds of crude oils. Crude oil is taken from an oil well that is a combination of different liquids. The oil is heated at different temperatures, allowing different vapors to rise and condense into their respective holding trays.
The different kinds of products that can be produced from the petrochemical refinery process are petroleum gas, gasoline, kerosene, diesel oil, and lubricating oil. This is a good investment for the Philippines as some of these oils are essential in multiple industries. Knowing that there is a huge demand for these products, this processing plant can help boost the Philippine economy. Besides processing plants, these agreements also help developing industries in the Philippines.
Cooperation in Energy Projects
Official Title: Cooperation in Energy Projects Including but Not Limited to Thermal Power Plants, Hydro Power Plants, and Renewable Power Plants
There are particular areas in the Philippines that still do not have stable access to electricity due to its high cost. These power plants will be established in order to lower the costs of electricity and install them in different areas. The aim of this agreement is for the Chinese to help the Philippines establish a number of power plants in different regions. These include thermal power plants, hydro power plants, and renewable power plants.
These power plants will use Philippine natural resources to produce energy in a more eco-friendly way. This involves making use of water sources, heat energy, and the wind. Along with improving the Filipinos’ access to necessities, these agreements also include efforts to improve the hospitality of the nation.
Cooperation in the Construction and Development of Exclusive Hotels and Clubs
Official Title: Cooperation in the Construction and Development of Grande Island and Chiquita Island of the Subic Bay Metropolitan Authority
This agreement is for the Chinese companies that invested in the Philippines, in order to give them a high-quality place to stay in during their time here. It aims to invest in the development of a five-star hotel, yacht club, and a clubhouse. It also aims to create a business-jet management company in order to receive Chinese entrepreneurs on their private jets with a warm welcome.
These are just some of the agreements that Philippine President Rodrigo Duterte signed for the Belt and Road Initiative. The full effect of these agreements will be felt once the Philippine economy starts to boom in a couple of years.
Key Takeaway
The agreements that Philippine President Rodrigo Duterte signed for the Chinese Belt and Road Initiative will definitely help improve Filipino-Chinese business in the Philippines. These developments will be key to the evolution of certain Philippine industries into global competitors. With the help of Chinese investors, Philippine manufacturing companies can further refine their products, the energy sector can try out more types of renewable energy, and the tourism industry can build more hotels and places for Chinese tourists to stay in.
Chinese-Filipino relations will continue to strengthen due to these agreements, and this is just the start of things.