The Philippine Electronics Industry is classified into 73% Semiconductor Manufacturing Services (SMS) and 27% Electronics Manufacturing Services (EMS). Most of the electronics businesses in the country operate in four key areas: Metro Manila, CALABARZON, Northern/Central Luzon and Cebu. Electronic companies in the country practice the best known methods in manufacturing with capabilities ranging from IC packaging, PCB Assembly and Full Product Assembly.
Year-to-date (January – September) data of 2021 shows that PH Electronics Exports has a total value of US$ 34.12 billion. Moreover, 20.58% of the country’s electronics exports went to Hong Kong, followed by USA (15.30%), China (12.90%), Singapore (8.08%) and Japan (6.50%), which complete the top five exports destination of the electronics sector.
Source: NSO (2012)
Source: PEZA, CFZ, BOI and SBMA
|a. If the electronics industry ceases to produce output, purchase inputs and distribute its products, GDP will drop by 28%|
|b. P1 increase in export sales generate at least 0.12 cents additional indirect taxes in the economy. In 2012, the industry’s total direct tax contribution was about US$690 million|
|c. P1 billion increase in investments create about 620 to 1,408 additional quality jobs in the economy|
|d. A P1 increase in export sales generate 0.11 cents to 0.25 cents additional household income in the economy|
|e. US$1 billion of investments create US$10.5 billion of exports from 2010 to 2012.|
The semiconductor and electronics still has the highest % impact on the country’s Gross Domestic Product.
|Impact of the Hypothetical Loss of Selected Industries on Gross Domestic Product||% Drop in GDP|
|Agriculture, Forestry and Fishery||14.9%|
|Semiconductor and electronics industry||28%|
Source: SEIPI’s “Multipliers and Multiplier Effects of the Semiconductor and Electronics Industries of the Philippines”
Dr. Bernardo M. Villegas & Cid L. Terosa, University of Asia and the Pacific | October 2013