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Imprint 2025 kicks off first graphic design upskilling fair

The country’s top graphic designers and visual communicators are set to gather for Imprint 2025, the first-ever upskilling fair dedicated to advancing the Philippine graphic design industry.

Organized by the Filipino Graphic Designers (FDG) community, in partnership with the Philippine Printing Technical Foundation (PPTF), the event aims to highlight the role of design in shaping industries, foster collaboration, and equip local creatives with the latest trends and techniques in graphic and visual communication.

Dubbed IMPRINT 2025: Graphic and Visual Communications Upskilling Fair, this event will be held on Feb. 12, from 9:00 a.m. to 5:00 p.m. at the Philippine Trade Training Center.

The event aims to address the many challenges faced by freelance graphic designers in an ever-changing business landscape and how to better help professionalize its practitioners. It also seeks to help graphic artists manage a freelance business as well as effectively market their skills to potential clients while keeping abreast of the many changing trends of the industry and the art of graphic design. This event will also provide an avenue for designers to network with other practitioners and to learn from other colleagues in the industry.

“The IMPRINT 2025 hopes to further professionalize and strengthen the standing of all Filipino graphic designers. Since the pandemic, we have seen the growth of the need for freelancers,” Founder Nabbe Francisco said. “We hope that with the new skills, trends and learnings, potential clients can better appreciate the artists’ contribution to their businesses.”

FGD, a thriving Facebook community of over 156,000 Filipino creatives worldwide, has been a trusted platform for designers to showcase their talents and connect with career-changing opportunities in the graphic design industry. Since its founding in 2021, FGD has collaborated with reputable organizations to inspire and empower Filipino designers through meaningful events and initiatives, fostering a supportive and innovative community.

IMPRINT 2025 will showcase upskilling workshops and talks by providing practical sessions designed to equip participants with the essential business, marketing and creative skills for freelancers. It also will allow guests the chance to showcase their bodies of work for potential clients. And lastly, talks from representatives from Technical Education And Skills Development Authority (TESDA), PTTC and other agencies will be given to help freelancers further professionalize their artform.

“As the industry grows, we expect that the graphic artists can become indispensable partners for many businesses in the country,” Mr. Francisco added.

For inquiries, email filipinographicdesigners@gmail.com or visit the link to register at https://filipinographicdesigners.fillout.com/IMPRINT2025. Walk-in registration will also be honored.

 

SparkUp is BusinessWorld’s multimedia brand created to inform, inspire, and empower the Philippine startups; micro, small and medium enterprises (MSMEs); and future business leaders. This section will be published every other Monday. For pitches and releases about startups, e-mail to bmbeltran@bworldonline.com (cc: abconoza@bworldonline.com). Materials sent become BW property.

Global Youth Action Fund opens 2025 applications to all secondary students

The International Baccalaureate (IB) is launching for the third year the Global Youth Action Fund, an award open to students ages 12 to 19 who have a project or idea designed to positively impact their community. The award will shine a light on the impressive work young people are doing around the globe and nurture future leaders and changemakers.

The Global Youth Action Fund is open to students or student groups enrolled in any secondary school. Applications will be accepted from Feb. 3 to 28. Details can be found on the IB website.

Students do not need to be enrolled at an IB World School but must be enrolled in a secondary school. The award aims to support student development and growth by fostering independent, autonomous learning who are addressing pressing global challenges.

Last year, 83 projects representing over 240 young individuals from 26 countries showcased their commitment to creating a better world by submitting projects that address issues ranging from sustainability and equity to social justice. The award recognizes and empowers students who are taking the lead in addressing pressing global challenges, within the IB community and beyond.

“We are excited to invite students from schools the world over to bring their innovative ideas and change-making projects to the Global Youth Action Fund. The IB understands the importance of supporting young people’s efforts to tackle the world’s evolving challenges. We hope the Global Youth Action Fund can help motivate and empower them to create the change we all want to see,” Olli-Pekka Heinonen, director-general of the IB, said.

Each project must align with one of the 17 UN Sustainable Development Goals (SDGs) and will be evaluated based on specific selection criteria.

The first criterion is impact, which assesses whether the project demonstrates a clear and measurable positive effect on one of the SDGs. Preference will be given to initiatives that create the most significant impact, ensuring that selected projects contribute meaningfully to sustainable development.

The stage of the project is also a key factor in the selection process. Projects will be evaluated based on their level of development — whether they are still in the ideation phase, in progress, scaling, or fully established. Preference will be given to projects that are further along in their development and have the potential for scalability.

Collaboration is another important aspect of evaluation. Projects that actively involve or have the capacity to engage other students will be prioritized. The selection committee favors initiatives that encourage broader participation and inspire more young people to contribute to sustainable solutions.

Finally, school support will be taken into consideration. Each application must include a teacher recommendation form, and preference will be given to students whose teachers not only endorse their project but also express confidence in the students’ ability to execute their vision effectively.

Winners will receive up to $3,000 grant funding depending on project needs, to transform or develop further their powerful idea.

The Global Youth Action Fund is part of the IB’s commitment to elevate, empower and support youth voices and is a pathway to action for the Festival of Hope. Designed to unite the global community in challenging moments, the Festival of Hope creates space for millions of young people to share their voices and experiences and tackle complex challenges. Learn more about IB’s other pathways to action on the Festival of Hope website.

Applications for the IB’s Global Youth Action Fund are open from Feb. 3 to 28. For more information, please visit the IB website for details to apply.

 

SparkUp is BusinessWorld’s multimedia brand created to inform, inspire, and empower the Philippine startups; micro, small and medium enterprises (MSMEs); and future business leaders. This section will be published every other Monday. For pitches and releases about startups, e-mail to bmbeltran@bworldonline.com (cc: abconoza@bworldonline.com). Materials sent become BW property.

UST Science alumni student bags award at 2024 NUS Science Summer Institute

University of Santo Tomas delegates Marguerite E. Garcia, Greville Galindon III, and Angelica Joyce D. Quebec

A graduate from the University of Santo Tomas (UST) College of Science won best oral presentation during the conclusion of the National University of Singapore (NUS) Science Summer Institute (SSI) 2024 held from July 2 to 11, 2024 at the NUS campus in Singapore.

Greville Galindon III, a BS Biology major in Medical Biology, was one of three College of Science alumni who participated in the inaugural NUS SSI. He was joined by fellow Medical Biology alumni Marguerite E. Garcia and Angelica Joyce D. Quebec of Batch 2024. Mr. Galindon’s winning entry was a presentation on research he had conducted during his senior year.

The participation of UST students in the NUS SSI was made possible after the invitation of the SSI Executive Committee led by Prof. Sow Chorng Haur, Vice-Dean of the NUS Faculty of Science. The UST College of Science and the NUS Faculty of Science have an existing Memorandum of Agreement for academic and research collaborations.

The NUS SSI 2024 is an event organized by the NUS Faculty of Science, which brought together senior undergraduates from the Asia-Pacific region for an intensive experience in Science, Technology, Engineering and Mathematics (STEM) research and development. SSI participants were given the opportunity to attend thematic lectures and practical master-classes by renowned experts from NUS and interact with them during the various sessions.

 

SparkUp is BusinessWorld’s multimedia brand created to inform, inspire, and empower the Philippine startups; micro, small and medium enterprises (MSMEs); and future business leaders. This section will be published every other Monday. For pitches and releases about startups, e-mail to bmbeltran@bworldonline.com (cc: abconoza@bworldonline.com). Materials sent become BW property.

Metaverse Filipino Worker short film premieres on YouTube

YGG Pilipinas announced the YouTube launch of Metaverse Filipino Worker (MFW), a short film exploring the transformative role of Web3 in shaping the future of work for Filipinos.

The short film highlights how Filipinos are carving out careers in Web3, embracing Web3 as a new frontier for work. Born out of the play-to-earn boom of 2021, the concept of the MFW has evolved from players simply grinding for in-game tokens to highly skilled professionals shaping the global decentralized economy.

Directed, written, and narrated by Leah Callon-Butler, the creator of the 2021 film Play-to-Earn: NFT Gaming in the Philippines, the documentary follows members of YGG Pilipinas as a Web3 gaming community navigating different opportunities in the metaverse. The film features their Community Manager Spraky, Esports Captain Disi, Guild Leader JB, and Mommy Influencer Julie as they forge their own path in the rapidly growing Web3 workforce.

Set against the backdrop of Metro Manila’s bustling streets and the rural landscapes of Pampanga and Nueva Ecija, the film is accompanied by an original musical score from L!NE OUTS!DE, the creative collaboration of Allan Pineda (more commonly known as Apl.de.Ap of the Black Eyed Peas) and Edgar Sinio (Artek606).

The animated title sequence is crafted by Lucius Felimus, a Manila-based NFT artist known for cyberpunk depictions of a futuristic Metro Manila.

Produced with the support of YGG Pilipinas, Metaverse Filipino Worker aims to spotlight the resilience and adaptability of Filipinos in the digital economy. The film’s launch marks the start of YGG Pilipinas’ broader initiative to ensure that local talent remains competitive as technology reshapes the global workforce.

 

SparkUp is BusinessWorld’s multimedia brand created to inform, inspire, and empower the Philippine startups; micro, small and medium enterprises (MSMEs); and future business leaders. This section will be published every other Monday. For pitches and releases about startups, e-mail to bmbeltran@bworldonline.com (cc: abconoza@bworldonline.com). Materials sent become BW property.

Valentine’s gifts

MONTBLANC’S Sartorial Thin Document Case and Sartorial Card Holder

YOU’RE not too late: you can still nab these gifts and fun activities for your beloved for Valentine’s Day on Friday.

MONTBLANC
This Valentine’s Day, Montblanc has curated an assortment of meaningful gifts, ready to be lovingly wrapped in a white Montblanc gift box. The Montblanc Meisterstück Gold-Coated 149 Fountain Pen features a cap and barrel crafted in black precious resin and a handcrafted Au 750/18K gold, rhodium-coated nib. Each Meisterstück is crowned with the white Montblanc emblem inlaid in the cap top and can be engraved with a heartfelt message for a personalized touch. The Meisterstück Messenger features a new metal closure that subtly mirrors the silhouette of the MontBlanc mountain, elevating it beyond functionality with its sleek, modern contours and finish in brilliant black leather. The Sartorial Thin Document Case, available in the burgundy-hued cassis color or in black, transitions with ease from work to play, while the compact Sartorial Pochette can be carried by a wrist handle or under arm to suit any occasion. Complete the leather assortment with a matching Sartorial Card Holder, offering three credit card slots, a business card compartment and an additional pocket on the inside, with an extra slot for a fourth credit card on the outside. As for watches, The Montblanc Star Legacy Moonphase Limited Edition of 1786 pieces features a burgundy-tone glacier patterned dial with a gradient sfumato effect around the outside, in addition to a filet sauté, rose-gold coated hands and numerals, and Montblanc emblem on the counterweight of the seconds hand. Presented in a 42mm stainless steel case and powered by the MB24.31 automatic movement, the timepiece’s moon phase complication displays the phases of the moon at six o’clock with a rose-gold-coated moon and stars on a blue background, surrounded by a round date indicator. The watch comes with an interchangeable calf leather strap in an alligator print finished with a vertical sfumato effect. The Montblanc Bohème Automatic Date comes with a sunbrushed silver-white dial adorned with diamond indexes, rose gold-coated floral Arabic numerals and hands. Other details include a filet sauté pattern and a stamping technique called filé d’étoiles. Fitted with the automatic calibre MB 24.29 and housed inside a 30mm stainless steel case, the watch indicates the hours, minutes and seconds, as well as the date displayed in an almond-shaped aperture with handwritten numerals. The timepiece is completed by a refined interchangeable white calf leather strap with alligator print and an additional strap to suit different styles. For moments when you get close, The Montblanc Legend Eau de Parfum features notes of bergamot, jasmine, and moss to create a fresh, aromatic and woody scent experience. Meanwhile, the Montblanc Signature Absolue Eau de Parfum envelopes its wearer in a floral, fruity and woody scent, highlighted by notes of mandarin, ylang-ylang and golden amber.

SEIKO
The Seiko 5 Sports Collection, with new limited edition collaborations with HUF and Denham, is a gift for men who embrace adventure and dare to be different. SRPL33K1 is from the Japanese watchmaking brand’s second collaboration with skateboarding and streetwear brand HUF. Modeled after a Seiko 5 Sports timepiece that gained popularity in the late ’60s, the watch comes with HUF’s signature colors, design elements, and a vivid HUF green see-through caseback. This timepiece makes for a good companion for those who want to stand out effortlessly. SRPL33 is limited to 7,000 pieces worldwide and locally retails for P22,050. Meanwhile, SRPL35K1 is a collaboration timepiece between Seiko and Amsterdam-based denim brand Denham. Inspired by the concept of a jeanmaker’s Watch, its overall design is reminiscent of classic denim, with varying shades of indigo featured across the bezel, dial, and strap, and a red seconds hand mirroring the signature red rivets found on Denham denim. The watch is presented with a NATO-style nylon strap, and the see-through screw caseback shows Denham’s iconic scissors logo and phrase “The Truth is in the Details.” SRPL35 is capped at 2,000 pieces worldwide, with a local price of P24,950. Both models are powered by Seiko’s Caliber 4R36 automatic movement, the driving force behind the Seiko 5 Sports collection. These watches feature a Curved Hardlex crystal and 100-meter water resistance. Shop the Seiko 5 Sports limited edition collaboration pieces at the nearest Seiko Boutique, Seiko authorized dealer, or online at https://shop.seikoboutique.com.ph/.

BARENBLISS
Barenbliss is launching Valentine’s gifts at SM Makati. Perks include free product engraving with any lip product purchase, free Kiwi Lip and Cheek Tint with a minimum purchase of P600, and both a Kiwi Lip and Cheek Tint and the BNB Fuzzy Bag with a minimum purchase of P1,500. Barenbliss is teaming up with Starfinder Optical and Boxed Blossoms to bring exclusive giveaways and special promos to make this month even more memorable. Stay connected through their Facebook, Instagram, and TikTok for the latest updates and promos.

EVER BILENA
Special promos rule at the makeup brand, starting with lip makeup for P143 — but only on two special weekends (Feb. 14 to 16 and Feb. 28 to March 2) to grab these deals. The newly launched Pillow Pop Multi Pot is part of the sale, dropping from P295 to P143! At Careline, the same P143 deals apply on the same weekends. Score the latest Glitter Ink and Colored Ink Liners, Careline x SpongeBob collaboration items, and the newly relaunched Careline Multisticks and Whipped Cream Tints at these limited-time price. If you also love Careline’s Powder Matte Lip Tint, it’s available for P99 all month long. It’s Hello Glow’s fifth birthday, and they’re celebrating with a five-day, 50% off sale on ALL Hello Glow products. Every product is at half-price from Feb. 13 to 17, 2025, including skincare, hair care, body care, and even depilatory essentials.

LEGO
Nothing says “I love you” like a bouquet made with love — and with Lego Botanicals, you can create one that will last forever. Whether you’re choosing the elegant Bouquet of Roses (10328), the vibrant Pretty Pink Flower Bouquet (10342), or the colorful Wild Flower Bouquet (10313), there’s a set to make someone’s day a little brighter. For those who prefer smaller gestures, the Mini Orchid (10343) and Tiny Plants (10329) add a sweet touch to your Valentine’s celebration. Meanwhile, the Plum Blossom (10369) and Lucky Bamboo (10344) make thoughtful gifts that go beyond the usual bouquet. Other builds include Cherry Blossoms (40725), LOVE Mosaic (31214), and Orchid (10311). Enjoy up to 20% off on selected Lego Botanical sets, exclusively available at the Lego Official Store on Shopee Mall, from Feb. 1 to 14. Celebrate the season of love by visiting the LEGO Love Fest at One Ayala Mall during the same dates. Spin the Wheel for a chance to win prizes, including up to 10% off vouchers (valid for purchases of P3,500 and up, capped at P400) and free LEGO polybags! Vouchers are valid for one month starting Feb. 1, 2025, and prizes are non-convertible to cash. Like and follow the Ban Kee Bricks Official Page on Facebook and Instagram, as well as the Lego Official Store on Shopee Mall. Spend at least P6,000 on any Lego Botanical set/s at the Lego Official Store on Shopee Mall and receive a free limited-edition Bloom & Bond Box. This special Gift-With-Purchase is filled with Valentine’s-themed surprises, including a phone holder, Blooming Exchange game cards, a DIY Vase Kit (with three unique designs), stickers, fairy lights, and coasters. Lego Certified Stores have locations in Alabang Town Center, BGC, TriNoma, Shangri-La Plaza, UP Town Center, Manila Bay. You can also explore the full range of products in Toy Kingdom, Toys R Us, Toytown, Rustan’s and online, available in Lazada & Shopee.

LUSH
Make this Valentine’s Day truly sweet with Lush’s 2025 Collection, launching in the Philippines on Feb. 14. This year’s range includes the brand new decadent Posh Chocolate shower gel, deliciously fruity Cherry On Top soap, and irresistible gift sets. These include the Tunnel of Love bath bomb, inspired by tales of The Tunnel of Love in Ukraine, this product contains citrussy olibanum oil and sweet orris root powder. The Love Struck Bombshell is a two-in-one bath bomb infused with soothing sea salt, refreshing bergamot oil, and comforting blackcurrant absolute, harvested by a cooperative in Burgundy, France. The Love Letter Bath Bomb is a romantic color-changing bath bomb with hydrating coconut milk for a creamy gentle soak, and rich in olibanum and geranium oil for a deliciously sweet strawberry scent. There are other love-themed bathbombs available, but there’s also Passion, a shower gel with a fruity, tropical, and lively blend of fresh red rose infusion and sweet passion fruit juice, mixed with hydrating glycerine and mesmerizing plastic-free sparkly luster. Cherry Pop is infused with cherry and tangy lime oils, and Posh Chocolate is a chocolate-scented shower gel packed with decadent cocoa powder and creamy hazelnut milk. Lush sources its organic hazelnut milk from European organic growers who process it using 100% green energy. For kissable lips, Lush also offers lip scrubs, lip butters, and lip care sets, including Shut Up and Kiss Me, Sweet Talk, and Crush. Lush is exclusively distributed by Stores Specialists, Inc., and is located at Alabang Town Center, Ayala Malls Manila Bay, Bonifacio High Street, Glorietta 4, Greenbelt 5, Robinsons Magnolia, Shangri-La Plaza, SM Mall of Asia, SM Megamall, SM North Edsa and TriNoma. Lush is also available in Shopee, Lazada Zalora, and Trunc.com. Visit www.lush.com.ph and ssilife.com.ph.

Ayala Corp. says no plans to sell down GCash stake

GCASH SERVICES are currently available in 16 markets, including the United States, the United Kingdom, the United Arab Emirates, Australia, Canada, Germany, Hong Kong, Italy, Japan, Saudi Arabia, Kuwait, Qatar, Singapore, South Korea, Spain, and Taiwan. — BW FILE PHOTO

AYALA CORP. has no plans to divest or reduce its equity stake in GCash ahead of the electronic wallet platform’s planned initial public offering (IPO), the company’s president said.

“I don’t see us selling down, to be honest; this thing has a long way to go,” Ayala Corp. President and Chief Executive Officer (CEO) Cezar P. Consing told reporters last week.

“It is still early days. Hard to say. We have to watch the market,” he added.

In October last year, Ayala Corp. announced that it would sell its 50% stake in AC Ventures Holding Corp. (ACV) to Japan’s Mitsubishi Corp. for a minimum of P18.4 billion.

ACV holds a 13% interest in Globe Fintech Innovations, Inc. (Mynt), which owns two fintech companies: G-Xchange, Inc., the operator of GCash, and Fuse Lending, a tech-based microlender.

Ayala Corp., through ACV, announced in August last year that it would raise its ownership in Mynt by purchasing an additional 8%, increasing its total shareholding to 13% for P286.4 billion.

Mitsubishi UFJ Financial Group, through its subsidiary MUFG Bank, Ltd., also entered into a binding agreement to invest in Mynt, acquiring an 8% stake, which brought GCash’s valuation to $5 billion.

On Friday, Globe Telecom President and CEO Ernest L. Cu said the company is considering offering a smaller IPO for GCash than the 20% minimum requirement set by the Securities and Exchange Commission (SEC) and the Philippine Stock Exchange (PSE).

Mr. Cu also noted that there is no set timeline for the GCash IPO, which is still being targeted as a local listing.

The PSE is aiming to facilitate six IPOs this year.

GCash services are currently available in 16 markets, including the United States, the United Kingdom, the United Arab Emirates, Australia, Canada, Germany, Hong Kong, Italy, Japan, Saudi Arabia, Kuwait, Qatar, Singapore, South Korea, Spain, and Taiwan. — Revin Mikhael D. Ochave

Uniforms, Filipino-style

THE government is taking a more aggressive stance in promoting Filipino fabrics in government uniforms. — BEAGLEMAMA/FLICKR

It is the policy of the State to instill patriotism and nationalism among the people, especially public officials and employees, who shall at all times be loyal to theRepublic and the Filipino people, promote the preferential use of locally manufactured goods that utilize local resources, adopt measures that help make them competitive and thus generate wider employment and greater benefits to the country. — Section 1, Republic Act (RA) No. 9242, An Act Prescribing the Use of the Philippine Tropical Fabrics for Uniforms Of Public Officials and Employees and for Other Purposes

WHILE the Philippine Tropical Fabrics (PTF) Law has been enacted since 2004, the government is taking a more aggressive stance in promoting Filipino fabrics in government uniforms. At Telacon, the Department of Science and Technology-Philippine Textile Research Institute (DOST-PTRI)’s National Textile Convention, such necessities like government procurement and private sector support were discussed at the forum “Challenges and Opportunities of PTF for Government Uniforms and Mainstream Apparel,” held at the Philippine International Convention Center on Jan. 30 to 31.

Rowena Candace Ruiz, executive director of the Government Procurement Policy Board-Technical Support Office discussed plans from their office, part of the network that supplies uniforms to government workers. “DepEd (Department of Education) has one million, and 50 thousand employees,” which would constitute almost half of the target set for their office. “We are now not only encouraging, but actually helping procuring entities to incorporate green specifications with sustainable textiles for procuring uniforms,” she said.

Olive Ang, president of Exclusive Apparel by Olive Ang, a company that makes uniforms, talked about the qualities of PTF that she admires most. They have a sheen to them, did not wrinkle, and due to their composition of natural fabric and polyester, would not require extra care (unlike pineapple and abaca fiber in their purest form). RA 9242 defines tropical fabrics as, “those containing natural fibers produced, spun, woven or knitted and finished in the Philippines.” In an article from the DOST-PTRI, revisions in the  implementing rules and regulations in the law were launched in 2023. “Previously, the requirement was at least 5% by weight for fibers like abaca, banana, and pineapple, and 15% by weight for silk. The new standard is a minimum of 5% for both natural textile fibers and silk,” said the agency.

Matthew Lazaro, vice-president of Asia Textile Mills, Inc. and chief executive of Ananas Anam Philippines Inc. (which transforms pineapple farming waste products into fiber) said, “PTF is not like those handwovens.” The fabrics to be used are those made my high-speed machines. “PTF only means that there’s pineapple or local indigenous fiber content.”

Challenges he sees include a lack of awareness. “I don’t think the government is really aware of this law,” he said, not to mention the general expense of making these fabrics, citing the need for automation to increase supply. “The PTF becomes really expensive because of the fiber,” he said. “Automation on specifically the extraction of the fiber would really help, at least in making PTF (have) more than 5% (indigenous fiber). It really boils down on price,” he said. “We’ve identified each and every process and how to systematize and make everything cost-efficient and production-efficient.”

He added, “If we just really comply, especially with government, they really have to take the lead. If people will really comply, I see a really good future ahead of it. Our country is so rich with natural resources.”

DOST-PTRI Director Julius L. Leaño said later in a press conference, “The government is exerting all efforts as part of its mandate under 9242 to be able to link the supply chains together,” which includes farmer groups, fiber producers, and manufacturers. — JLG

The impact of China’s trade sanctions on the Philippines

(Part 2)

In my previous column on Dec. 30, 2024 (https://tinyurl.com/2arr2vm5), I speculated on how and when China might wield trade as a weapon and eventually de-escalate. In this second installment, I examine the potential impact on the Philippine economy if China were to impose trade sanctions amid escalating maritime and national security disputes. I also explore strategies the Philippines can adopt to mitigate these effects.

Using 2023 trade data from Harvard’s Observatory of Economic Complexity, I outline three scenarios. The first considers a targeted sanction strategy in which China applies selective pressure, limiting Philippine exports that it can easily replace while ensuring its own industries remain unaffected. The second examines a more aggressive situation in which trade is reduced by 50%, perhaps triggered by heightened security tensions such as the deployment of US missiles in Philippine territory, an escalation similar to what happened with South Korea in 2017. The third and most extreme scenario envisions a 75% trade reduction, potentially occurring if the Philippines becomes entangled in a direct US-China conflict. These scenarios estimate potential losses in trade volume, job displacement, inflationary pressures and broader macroeconomic consequences.

ECONOMIC IMPACTS
China remains the Philippines’ largest trading partner, with bilateral trade reaching about $41 billion in 2023. Philippine exports to China amounted to $15.3 billion, with imports from China totaling $25 billion. This trade relationship covers a wide range of industries. Electronics and semiconductors dominate exports, accounting for 38% of total shipments, followed by nickel ore, refined copper and agricultural products. On the import side, China supplies the Philippines with electronic components, fertilizers, steel, chemicals and consumer goods — inputs that are vital to the country’s manufacturing and construction industries. Any disruption in these sectors would have cascading economic effects.

If China were to impose selective sanctions, focusing on curtailing imports of electronics, agricultural goods and low-value exports, the Philippine economy could face a $6-billion loss. The hardest-hit industries would include electronics manufacturing, agriculture and consumer goods, with about 250,000 jobs at risk. The strategy would allow China to exert significant economic pressure while minimizing harm to its own industries, avoiding disruptions to imports of raw materials like nickel and copper that remain essential to its production lines.

If trade restrictions escalated to a 50% reduction, the economic impact would be far more severe. In this scenario, Philippine trade losses could exceed $20 billion, affecting nearly 882,500 jobs. The repercussions would extend beyond the immediate loss of export markets, affecting supply chains, logistics, retail and financial services. The electronics sector, concentrated in industrial hubs such as Cavite, Laguna and Batangas, would see significant contractions, with job losses climbing to 145,000. A deeper cut of 75%, as might happen if the Philippines became involved in a US-China military confrontation, would push trade losses past $30 billion and displace over 1.3 million workers, leading to profound disruptions in key industries.

SECTORAL IMPACTS
The electronics sector would be one of the first to suffer. As the largest export category to China, accounting for 38% of total shipments, any disruption in demand would have immediate consequences for manufacturing firms in export processing zones. A reduction in trade would not only affect factory workers but also ripple across the entire supply chain, including logistics companies, component suppliers and supporting industries. The mining sector, while somewhat shielded under a targeted sanction strategy due to China’s ongoing need for nickel and copper, would still face significant setbacks under broader trade restrictions. If Chinese purchases of Philippine minerals fell by half, about 32,500 jobs would be lost, increasing to 49,000 in a 75% trade reduction scenario. The impact would be particularly severe in mining-dependent regions such as Caraga and Northern Mindanao, where entire communities rely on mineral exports.

Agriculture, which is often overlooked in trade discussions, would also suffer significant consequences. The banana industry, heavily reliant on Chinese markets, would be among the first to feel the strain. A 50% reduction in banana exports could cost 19,000 jobs, climbing to 28,000 if trade were cut by 75%. The loss of the Chinese market would create an oversupply, driving prices down and hurting small farmers and plantation workers in the Davao region. While alternative markets exist, they are unlikely to absorb the excess volume quickly enough to prevent severe financial losses. However, given that Davao is the political base of the Dutertes, China may choose to leave this sector untouched for political reasons.

Beyond goods exports, the tourism industry has already been affected by shifting trade and diplomatic tensions. In 2019, about 1.7 million Chinese tourists visited the Philippines, making them a key driver of the hospitality sector. By 2024, that number had dropped to just over 300,000, a sharp decline compared with neighboring countries that have rebounded more quickly.

BROADER MACROECONOMIC IMPACTS
The trade deficit would widen significantly under all scenarios. In the worst case, it could increase by as much as $8.75 billion, as reduced exports combined with ongoing import needs would put downward pressure on the peso. A weaker currency would, in turn, make imported goods more expensive, further exacerbating inflationary pressures. Inflation, already a major concern for Filipino households, could rise by 1.5% to 3.5% under a 50% trade reduction and by as much as 5.5% in the event of a 75% cut. The consequences would be particularly harsh for low- and middle-income households, for whom rising food and transportation costs constitute a major financial burden. The labor market, particularly in regions dependent on trade-related industries such as Metro Manila, Calabarzon, Central Luzon and Davao, would also experience significant strain, with rising unemployment and limited alternative employment opportunities for displaced workers.

TINIKLING STRATEGY
Navigating these challenges will require a carefully calibrated response — one that can be likened to tinikling, a traditional Filipino bamboo dance that demands agility, precision and strategic timing. Managing the Philippines’ complex economic, security, maritime and diplomatic relations with both China and the United States will require a similar skill and coordination. President Marcos’ recent proposal to de-escalate tensions by withdrawing US missiles from the Philippines in exchange for China’s restraint in the South China Sea is a step in the right direction.

At the heart of this strategy is the need for trade diversification. Overreliance on a single market — whether China or the US — creates significant vulnerabilities. The Philippines should actively expand its trade relationships with other partners to mitigate geopolitical risks. Industrial policy should also evolve. The country’s longstanding role as an assembly hub for electronics and semiconductors leaves it vulnerable to shifts in global demand. While the US military presence in the Philippines is ostensibly meant to protect American and Taiwanese interests, the reality is that most US and Taiwanese investments in the semiconductor industry have gone to other ASEAN countries, bypassing the Philippines entirely.

The potential disruption of imports also highlights the need to secure alternative supply routes. The Philippines imported $4 billion worth of steel from China in 2023, largely because Chinese steel is at least 10% cheaper than that of other suppliers. Similarly, China provides 45% of the Philippines’ fertilizers, and any disruption would push food prices even higher at a time when self-rated poverty is at an all-time high of 63%.

China’s potential use of trade sanctions against the Philippines presents significant economic risks, with severe implications for key industries such as electronics, mining, agriculture and tourism. A sharp reduction in trade could lead to widespread job losses, inflationary pressures and a widening trade deficit, making the economy increasingly vulnerable. The Philippines should respond with a strategic, flexible approach — one that balances diplomacy, trade diversification, industrial policy adjustments and alternative supply chain development. It should also reassess its security assumptions, recognizing that alliances alone do not guarantee economic or geopolitical stability.

 

Eduardo Araral is an associate professor at the Lee Kuan Yew School of Public Policy, National University of Singapore. This op-ed is written in his personal capacity.

AREIT shares inched down despite PSEi debut

One Ayala East Tower — AREIT.COM.PH

SHARES OF AREIT, Inc. (AREIT) declined slightly last week despite its first-time inclusion in the Philippine Stock Exchange index (PSEi) alongside Chinabank.

Data from the Philippine Stock Exchange showed that the Ayala group’s real estate investment trust (REIT) was the 14th most active stock of the week, with 20.31 million shares worth P801.84 billion changing hands from Feb. 3 to 7.

The company’s shares closed at P39.55 on Friday, 5.8% lower than the P42 closing price on Jan. 31. However, the close was 4.2% higher than the P39.55 closing price on Dec. 27, 2024.

Last Monday, the company entered the PSEi index along with Chinabank, replacing Nickel Asia Corp. and Wilcon Depot, Inc.

As the first and largest publicly traded REIT in the local exchange, AREIT became the first of its kind to join the 30-company index.

“This shows the immense potential REITs have as an investment product and serves as a good example for REIT issuers that aspire to maximize this particular type of listing vehicle,” said PSE President and Chief Executive Officer Ramon S. Monzon in a statement.

“Now that AREIT is part of the PSEi and has gained broader investor attention, we expect it to maintain a steady uptrend,” said Jarrod Leighton M. Tin, equity research analyst at DragonFi Securities, Inc., in a Viber message.

Mr. Tin also said that AREIT’s share price rebounded from weakness following Ayala Land, Inc.’s (ALI) P37-per-share block sale last year, with the stock rallying to P42 on PSEi inclusion expectations after trading below the block sale price.

In December, ALI generated P2.78 billion through a block sale of 75 million AREIT shares priced at P37 each.

ALI holds a 43.33% controlling stake in AREIT.

“Sharp price dips are likely to be short-lived, as investors may accumulate shares when AREIT’s dividend yield becomes more attractive relative to the current risk-free rate,” Mr. Tin added.

Jash Matthew M. Baylon, analyst at First Resources Management and Securities Corp., said that AREIT’s entry “is like placing the company in the stock market spotlight.”

“We believe that this would further strengthen investor interest in the stock, especially vis-à-vis other REITs, as this supports the company’s strong financial performance, which would then translate to consistent dividend payouts moving forward,” Mr. Baylon said in a Viber message.

“Notably, AREIT surged 7.69% to P42 on the final day of the PSEi rebalancing, driven by a mark-on-close rally as fund managers rushed to acquire shares for index-tracking portfolios,” said Mr. Tin.

On Feb. 3, the PSEi plunged by 4.01% or 245.07 points, its lowest finish in 27 months, due to the index rebalancing.

“This significantly contributed to the large sell-off across the board as other index stocks decreased in weight allocation. This means that more funds have flowed into AREIT, making it more attractive,” said Mr. Baylon.

Mr. Baylon also said that the increasing condo oversupply in the real estate industry may negatively affect the stock’s performance.

Vacancy levels for office spaces rose to 19.7% as of the fourth quarter of 2024, driven by move-outs from the business process outsourcing sector, corporate occupiers, and Philippine offshore gaming operators, property services firm JLL Philippines said last Wednesday in a briefing.

AREIT’s portfolio as of the third quarter of 2024 consists primarily of office properties at 76%, complemented by retail (11%), industrial land (7%), and hotels (6%).

Its assets are concentrated in the Makati CBD (61%), other areas in Metro Manila (14%), Cebu (12%), other areas in Luzon (11%), and other areas in the Visayas (1%).

AREIT’s investment properties are composed of 20 stand-alone buildings, five mixed-use properties, nine condominium office units, and land parcels.

For the third quarter, the company’s revenues grew by 42% to P2.89 billion from P2.03 billion last year. AREIT also posted P1.96 billion in net income, 58.9% higher than P1.23 billion in the third quarter of 2023.

For the January-September period, AREIT’s revenues soared by 47.4% to P4.82 billion from P3.27 billion last year. Likewise, the company’s net income grew by 42.3% to P7.12 billion from P5 billion during the same period last year.

“We forecast AREIT’s core net income to grow by 46.83% to P7.2 billion in 2024 (full year) and by 14.98% to P8.3 billion in 2025 (full year), driven by revenue recognition from its 2024 property infusions, which expanded its GLA from 918,710 square meters (sq.m.) in 2023 to 3,892,204 sq.m.,” said Mr. Tin.

“We forecast AREIT’s revenue for the full year 2024 to rise by 40%, amounting to P9.90 billion, higher than the previous year’s revenue of P7.14 billion,” said Mr. Baylon.

Mr. Tin pegged support for the stock at P38 and resistance at P40.45.

“At the P38 level, this implies a 6.14% dividend yield for 2025F, aligning closely with the current 10-year BVAL rate of 6.12%,” said Mr. Tin.

“We consider P38.00 as the support, while the new 52-week high at P42.00 per share is the resistance,” said Mr. Baylon. — Pierce Oel A. Montalvo

Strength in numbers

Toyota Motor Philippines Chairman Alfred V. Ty speaks at the recent media thanksgiving party of the company. — PHOTO BY KAP MACEDA AGUILA

AND SO IT GOES: The Philippine auto industry is giddy over the sales results in 2024. Car makers in the country are taking turns hosting thanksgiving events to express appreciation for the gains made. There is much to celebrate, really.

The Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and Truck Manufacturers Association (TMA) reported sales of 467,252 units, just shy of their projection of 468,000. This represents growth of about 9% versus the 429,807 units sold in 2023 and is the highest-ever mark for both associations.

On the other hand, Toyota Motor Philippines (TMP) leadership reported that the Philippine auto market may have, in fact, achieved a new all-time sales record of 474,000 units in 2024. This beats the previous record of 473,000 units in 2017. In its count, TMP includes sales of both CAMPI and TMA, along with the reckoning of the Automotive Vehicle Importers and Distributors (AVID) and some members of the Electric Vehicle Association of the Philippines (EVAP).

There were a lot of big movers in 2024. Among the Japanese makes, Toyota retained its market leadership, with sales growing by 9% to 218,019 units. Mitsubishi grew faster than the industry average, increasing sales by 13.7% to 89,124 units. Compared to sales of 53,211 units in 2022, its growth is even more remarkable at 67.5%. Honda sales grew by 11.4%, Suzuki by 10.4%.

The Korean auto brands also posted significant growth. Hyundai reported sales of 12,023 units (+31.7%), while Kia recorded an uptick of 33% to 6,692 units.

Of course, Chinese brands also grew significantly in 2024. MG — whose distribution in the Philippines was taken over by parent SAIC Motor — reported sales of 9,016 units, up 59% from the previous year’s 5,679 units. GAC Motor Philippines — distributed by Astara Philippines — recorded even larger growth of 65.1% on sales of 3,207 units. The biggest gain belongs to electric vehicle specialist BYD. BYD Cars Philippines and ACMobility (the official distributor of BYD passenger vehicles in the country) sold 4,780 units reportedly, representing a whopping 8,900% uptick from the 2023 figure.

Indeed, the 2024 sales reports augur very well for the auto industry in the Philippines. It has clearly put the country back on track toward motorization, following the disruption by the COVID-19 pandemic. Given the economic growth targets of government, it is likely that the importance of the auto sector to national development will continue to rise. In fact, the pronouncement of the government of its aim to strengthen the manufacturing sector opens a clear opportunity for automotive manufacturers. As the market continues to expand its scale and more automakers take interest in entering the Philippines, it seems timely for the industry to leverage its collective strength in the pursuit of a unified program that can significantly drive economic development for the country. This was the call made by TMP Chairman Alfred V. Ty at a recent media gathering.

“As the Philippine auto market continues to expand, I am very much encouraged by the added possibilities this growth brings with it. The auto industry is truly transforming into a major pillar of economic development,” he said. “The rapid and significant influx of automakers is a very welcome indicator. The one thing that attracts automakers the most to any market is increasing sales volumes,” he continued. Mr. Ty believes that as motorization progresses, new opportunities open for local manufacturing. “I am a strong advocate of ‘gawa ng Filipino para sa Filipino,’ so this is a very welcome prospect for nation-building. More important than the records set, the expanding market reflects a thriving domestic economy, and a nation and a people on the move,” the executive concluded.

In 2024, the growth in Toyota sales allowed TMP to secure over 69,000 jobs for Filipinos, contribute P35 billion to government revenues, and realize over US$1 billion in auto parts exports for the Toyota group. Given that Toyota accounts for over 40% of the market, Mr. Ty estimates that the whole auto industry could have very well contributed almost twice as much to the Philippine economy, making the automotive sector a very significant contributor to economic development. It is estimated that there are about 12 automotive OEs represented in the country, distributing around 60 different brands and more than 400 models on the road.

In a similar recognition of the growing importance of the Philippine auto market, Mitsubishi Motors (Japan) Executive Vice-President Tatsuo Nakamura announced in April 2024 the new sales record for Mitsubishi in the Philippines in fiscal year 2023. At that time, he mentioned that Mitsubishi Motors “will concentrate management resources to growth drivers,” including the Philippines. He noted that the new car market in the country has been growing rapidly along with the growth rate of the population and economy, and is expected to continuously grow further in the midterm.

Toyota and Mitsubishi are the two largest local producers of motor vehicles in the country. Other makers that maintain production operations in the country are Isuzu, Hino, Foton and some Chinese truck manufacturers.

Looking ahead, TMP projects industry sales of 512,000 units in 2025, up by 8% versus 2024. Main drivers will be GDP growth of over 6%, a sound financial sector with a growing consumer loan portfolio, expanding OFW remittances and BPO earnings, sustained government and private infrastructure spending, and incremental economic demand from election-related spending.

Other auto makers have also expressed similar optimism in the growth prospects for the Philippines. These expressions of confidence are heartening and are, hopefully, harbingers of a more concerted effort among automakers and the government toward nation-building. It is time to harness the combined capabilities and resources of the entire auto sector into a major economic force and manufacturing hub in support of the nation’s long-term development plans.

Ferragamo family seeks to send message of stability after CEO Gobbetti’s exit

FERRAGAMO’S founding family has sought to reassure staff this week that it remains committed to the luxury group after Monday’s surprise news that Chief Executive Officer (CEO) Marco Gobbetti was leaving, a person with knowledge of the matter said.

Italy’s Ferragamo, which has been struggling to revitalize its product offering and sales, has long been seen as a potential merger and acquisition target.

While publicly ruling out the idea of a sale, the Ferragamo family has in the past explored the idea of reducing its stake, sources have previously told Reuters.

For now, the family’s focus is on steadying the group after Mr. Gobbetti’s departure next month barely three years into his tenure, according to the source.

A second source close to the matter confirmed the family was not currently looking at a sale.

During Mr. Gobbetti’s tenure, sales decreased by roughly 10% and shares lost around two-thirds of their value, with the lack of marked improvements stoking tensions between the Ferragamos and the former Burberry chief, the person and another source said.

A lack of communication between the manager and stakeholders compounded problems, with the Ferragamos feeling they had little clarity on the group’s turnaround prospects, the two sources said.

Asked for a comment, Mr. Gobbetti and Ferragamo referred to this week’s press release on the CEO’s departure, which they said was mutually agreed.

In 2022, Mr. Gobbetti had promised a quick turnaround, vowing to increase investments, revamp stores and attract younger customers to double revenue to almost 2.3 billion euros ($2.4 billion) by 2026. Sales dropped 8.2% last year to 1.03 billion euros.

The Florentine group’s market capitalization dwindled to 1.2 billion euros, with Ferragamo’s shares underperforming the broader European luxury sector.

FERRAGAMO’S DECADE-LONG OVERHAUL
Worse hit than others by the COVID-19 pandemic due to its relatively bigger exposure to China, Ferragamo failed to take advantage of the rebound driven by pent-up demand, and is now grappling like the rest of the industry with cooling demand.

“Having only one brand and being focused on a limited number of categories contributed to exacerbating the crisis,” said Carlo Alberto Carnevale Maffe, a Strategy and Entrepreneurship professor at SDA Bocconi School of Management.

Ferragamo has been working on a revamp for almost 10 years during which two other CEOs have left the group.

In 2018 Eraldo Poletto, appointed to succeed long-standing boss Michele Norsa as CEO, stepped down after less than two years in the wake of the company saying that it could not stand by its medium-term targets.

Micaela Le Divelec Lemmi, a former Gucci executive, was appointed as the group’s new CEO a few months later, but lasted only until 2021.

In every crisis, the family has turned back to trusted former CEO Michele Norsa for help with the transition. Mr. Norsa will be part of an advisory committee including James Ferragamo and former general manager Ernesto Greco which will assist Chairman Leonardo Ferragamo until a new CEO is found. — Reuters

KMC Savills expanding services amid optimism

JOE CURRAN

By Revin Mikhael D. Ochave, Reporter

THE PHILIPPINE real estate sector holds significant growth potential and is well-positioned to maintain its competitive edge in the regional property market, according to KMC Savills, Inc. Chief Executive Officer (CEO) Joe Curran.

“The appetite is there. The demand is there. There’s really a bright horizon for property development in the Philippines because there is so much room to improve,” Mr. Curran said in an interview with BusinessWorld.

KMC is a real estate services company headquartered in Bonifacio Global City. It is the exclusive international affiliate of Savills, a global real estate services provider listed on the London Stock Exchange.

“There are some great developers here who have great ambition and who really want to bring world-class products — be they hospitality, office, or residential — to this country,” he added.

Mr. Curran was appointed CEO of KMC Savills in January 2024, bringing with him more than 20 years of experience in the real estate industry.

He previously served as country manager for Cushman & Wakefield in the Philippines and as executive vice president of KMC Savills’ sister company, KMC Solutions, Inc., which operates in the flexible workspace sector. Mr. Curran also held the role of associate director at the commercial real estate services firm CBRE.

“Even though I have the title of CEO, it’s still about client engagement. That’s the highest and best use of my time — working with agents, engaging clients, and driving business growth,” Mr. Curran said.

“We continue to expand our service lines, particularly in facilities management and property management. We’re very bullish on Metro Manila and the regions,” he added. KMC Savills provides services such as tenant and landlord representation, investments, research and consultancy, valuation, project marketing, property management, facilities management, and project management.

Mr. Curran also highlighted the positive impact of ongoing infrastructure projects such as the Metro Manila Subway in enhancing the country’s competitiveness relative to neighbors like Vietnam, Singapore, and Thailand.

“These large infrastructure projects are upgrading ports, roads, and airports — not just in Metro Manila but also across the Visayas and Mindanao. The mass transportation systems underway in Metro Manila can be game-changers by enabling people to live farther north or south, unlocking new economic potential,” he said.

“The Philippines is a fabulous talent pool — English-speaking and with a large population. Some of the key ingredients for growth are already here,” he added.

The infrastructure projects, Mr. Curran said, will also support growth beyond central business districts (CBDs).

“It’s important to decentralize from the core CBDs to areas like Bulacan and the South Luzon Expressway corridor,” he said.

“Cities such as Cagayan de Oro, Puerto Princesa, and Dumaguete also show potential. These regional growth centers are predominantly driven by local talent pools. It’s really labor-driven,” he added.

Mr. Curran noted that decentralization would benefit expanding companies, particularly in the business process outsourcing sector, by reducing attrition rates.

“In regional locations, there’s less poaching and attrition. Being one of only a few choices in town gives companies an edge, unlike in Ortigas, where job opportunities abound,” he explained.

“Another challenge is the quality of office buildings in these areas, but many local developers are prepared to address this,” he added.

KMC Savills also aims to improve the quality of developments and the end-user experience.

“Filipinos, especially the younger generation, are exposed to international cultures and want integrated townships, better public transportation, bike tracks, greenways, and parks here at home,” Mr. Curran said.

“Our role as service providers is to facilitate these improvements, unlock value, and collaborate with both local and international stakeholders,” he said.

KMC Savills and its project management design-and-build arm, T1, employ more than 500 professionals in the Philippines.

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