Business

Cebu Powers the Next Wave of Philippine Industry

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Aboitiz Economic Estates convenes leaders to chart the region’s industrial future

Cebu’s growing role in shaping the Philippines’ manufacturing and industrial future took center stage at the Cebu Industrial Summit 2025, hosted by Aboitiz Economic Estates under the theme “Cebu: Powering the Next Wave of Philippine Industry.”

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The summit gathered leaders from government and business — Governor Pamela Baricuatro, Provincial Administrator Ace Durano, Philippine Economic Zone Authority (PEZA) Deputy Director General Maria Veronica Magsino, AboitizPower Chief Operating Officer for the Distribution Business Group Anton Perdices, and Aboitiz Land President and Aboitiz Economic Estates Head Rafael Fernandez de Mesa — to highlight Cebu’s strengths in driving industrial growth and to explore collaborative pathways that can position the region at the center of the Philippines’ next industrial era.

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“Cebu’s foundation for the next wave of industrial growth has never been stronger. Its strategic location, robust infrastructure, and exceptional talent base make it a prime destination for high-value, future-ready industries,” said Rafael Fernandez de Mesa, adding that Aboitiz Economic Estates is “no longer simply a land developer, but a solutions provider — an enabler of enterprise and a partner in nation-building.”

A Convergence of Policy, Infrastructure, and Innovation

The summit underscored how supportive policies, reliable infrastructure, and a skilled, globally competitive workforce are converging to redefine Cebu’s industrial landscape — strengthened by long-term partnerships between government and private sector enablers like Aboitiz Economic Estates.

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Governor Baricuatro reaffirmed the province’s commitment to building an ecosystem that empowers investors and communities alike, paving the way for inclusive and sustainable growth. “Cebu stands at the dawn of another chapter — one where we rise once again to power the next wave of Philippine industry,” said Governor Pamela Baricuatro. “Our vision is to build industries that create not only profit but purpose — transforming Cebu into a model of sustainable, inclusive, and human-centered growth.”

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PEZA Deputy Director General Maria Veronica Magsino emphasized the continuing reforms under CREATE MORE, which strengthen policy stability and reinforce investor confidence in the country’s economic zones. “PEZA’s ecozones continue to drive national growth, accounting for 54 percent of the country’s exports and over 4,300 operating enterprises nationwide,” she said. “In Cebu alone, 50 ecozones have generated more than ₱321 billion in investments and over 217,000 jobs — a testament to the province’s resilience and potential as an industrial powerhouse.”

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From the private sector, Anton Perdices highlighted AboitizPower’s role in ensuring Cebu’s competitiveness through reliable and sustainable energy solutions — critical in powering both existing locators and new entrants in the manufacturing and logistics sectors.

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Provincial Administrator Ace Durano likewise spoke about the local government’s focus on enabling infrastructure and business support systems that attract investors and create long-term employment opportunities.

“We see ourselves as partners of industry in removing obstacles and enabling growth,” said Provincial Administrator Ace Durano. “By addressing key issues such as reclamation and real property tax policies, and by improving provincial infrastructure, we are laying the groundwork for more sustainable and investor-friendly industrial development across Cebu.”

World-Class Estates Driving Growth

Through its two estates — West Cebu Estate in Balamban and MEZ2 Estate in Lapu-Lapu City — Aboitiz Economic Estates has helped establish Cebu as a globally recognized hub for manufacturing and innovation.

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SC 443, the world’s first methanol-powered Kamsarmax bulk carrier, was built at West Cebu Estate —marking a breakthrough for Filipino shipbuilding on the global stage.

At West Cebu Estate, home to Tsuneishi Heavy Industries (Cebu), Inc., Cebu continues to anchor the country’s shipbuilding leadership. Tsuneishi’s recent launch of the world’s first methanol-powered Kamsarmax bulk carrier marked a breakthrough for Filipino engineering and sustainability on the global stage.

Sauna World Inc (SAWO) President Veikko-Matti Kallioniemi (2nd from the left) formalises its 4 hectare expansion within MEZ2 Estate through a 15-year long term lease agreement with Aboitiz Economic Estates

Cebu’s reputation as a world-class manufacturing hub gained further momentum with Finnish-managed SAWO, a sauna and steam manufacturer, expanding its operations at Mactan Economic Zone 2 (MEZ2) Estate by an additional four hectares. This expansion makes SAWO the largest locator in the estate, with a total footprint of 5.5 hectares. Since establishing operations in Cebu in 2000, SAWO has grown into one of the world’s largest sauna heater and steam equipment manufacturers — proudly exporting Made in Cebu products to over 80 countries.

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A Plastic Odyssey Project micro-factory, located within MEZ2 Estate, transforms plastic waste into purposeful solutions—advancing innovation, inclusion, and environmental impact through circular economy practices

Complementing this growth, the Plastic Odyssey micro-factory at MEZ2, supported by Delfingen, transforms plastic waste into reusable materials — a circular economy initiative that showcases Cebu’s drive toward sustainable industrialization. “These examples show how innovation, sustainability, and global competitiveness are not just ideals but realities being built right here in Cebu,” Fernandez de Mesa shared.

Cebu’s Boundless Potential

“The opportunities ahead are immense — but so are the challenges. Global shifts, infrastructure needs, energy transitions. Yet if there’s one thing Cebu has always demonstrated, it’s the ability to adapt, collaborate, and lead,” said Clifford M. Academia, Vice President for Operations of Aboitiz Economic Estates.

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The Cebu Industrial Summit 2025 reaffirmed that the province’s strength lies not only in its well-known service and tourism sectors but in its expanding, innovation-driven industrial base — one that continues to create meaningful employment and elevate the Philippines’ role in global manufacturing. “By working together — government, investors, and industry — we can unlock the next chapter of Cebu’s industrial story: one powered by innovation, partnership, and shared prosperity,” Fernandez de Mesa concluded.