THE Department of Trade and Industry (DTI) said the US-Philippines critical minerals agreement has the potential to unlock investments in mineral processing plants and related industries.
“The agreement provides a framework for investment attraction by leveraging the Board of Investments (BoI) to support mineral processing, refining, and downstream manufacturing,” the DTI said on Tuesday.
“The memorandum of understanding (MoU) is also expected to attract diverse investments not only in mining but also in related industries such as power generation, logistics, and chemical handling,” it added.
The department was referring to the agreement signed by the US and the Philippines last week to develop the Philippine critical mineral industry.
“The MoU is a major enabler for the Philippines to shift from simply exporting raw mineral ores to becoming a significant player in value-added processing,” Trade Secretary Ma. Cristina A. Roque said.
“We are aiming (to become) more than just a supplier; we are positioning ourselves as a vital link in the global supply chains for semiconductors, defense, and clean energy,” she added.
According to the DTI, the deal will allow the Philippines to access US grants, feasibility studies, and joint geological mapping to modernize the mining industry.
“It will also reduce over-reliance on a single buyer by connecting Philippine minerals to a broader network of over 50 allied nations and create high-skilled jobs through technology transfer and advanced research initiatives,” it added.
The deal is also expected to reinforce commitments to environmental sustainability in mining.
“Through this agreement, we expect to attract substantial and diverse investments that will develop the workforce and strengthen our standing in the industries of the future,” said Ms. Roque.
Philippine Ambassador to the US Jose Manuel G. Romualdez said that he expects more details of the MoU soon.
“There is going to be a bilateral strategic dialogue with the US and the Philippines in the coming week. I think it is during that time that we will have more information regarding the critical minerals agreement that we have with the US,” he said at the US-Philippines Society briefing on Tuesday.
“We have been talking about being part of the critical minerals supply chain not only for the US but for other countries as well,” he added.
He said that the agreement will allow the Philippines to develop a mineral processing industry, as almost 90% of its nickel exports go to China because of the “processing that we do not have right now.”
“That is one area where I think we can have very good cooperation with the US in the processing of our nickel and many others that they are looking at, like copper,” he said. — Justine Irish D. Tabile
