Major Chinese construction firms keen on PH projects

China’s top ten construction companies are exploring for the first time all kinds of construction projects in the Philippines including infrastructure saying it is more conducive now for Chinese to do business in the country as relations have been warming up under the new government of President Rodrigo Duterte.

Xu Ningning, executive president of the China-ASEAN Business Council, is heading a 30-man delegation from 10 Chinese firms for a one-day visit. The mission met yesterday with three government secretaries including Secretary Arthur Tugade of the Department of Transportation, Secretary Ramon Lopez of the Department of Trade and Industry and Secretary Mark Villar of the Department of Public Works and Highways. The Philippines is part of the three-leg ASEAN mission, including Myanmar and Vietnam. The group also met with the construction industry groups and government agencies.

According to Xu, these companies are the top construction companies in China with expertise in infrastructure projects including flood control, industrial parks, construction materials, engineering, railways, among others. Mission members were responsible in the construction of iconic Birds Nest, the stadium China built for its hosting of Olympic and the CCTV building headquarters. These companies have also projects in southeast Asia and Africa.

Most of the members are new to the Philippines while some have individual projects in the country, but Xu said that they believe it is better to come this time as a group.

Mission members include Nantong Hua Xin Construction Engineering Group Co., Ltd.; China No. 3 Construction Group Co., Ltd.; China Qidong Construction Group Co. Ltd.; China Zhongxin Construction Group Co., Ltd.; China Zhengfang Foundation Project Co., Ltd.; China Longxin Construction Group Co., Ltd., Overseas; China Jiangzhong Group Co., Ltd.; China Jiangzhong Group Co., Ltd., Overseas Branch; China Hua Xin Construction Engineering Group Co., Ltd.; China Tong Zhou Construction General Contracting Group; China Construction Group Co., Ltd.; China Chang Qing Construction and Installation Engineering Co. Ltd.; China Construction Industry Association, and; Jiangsu Tongchenghuihuang International Travel Service.

“These private companies have capitalization of $1 billion each,” Xu said with subsidiaries that are already in China.

“They just want to find construction and investment opportunities especially with the ASEAN economic integration,” he said.

In addition, Xu said the group believes of the dawning of better relations between the two countries under President Duterte’s government.

“It is time to take off and for Chinese companies to come here,” said Xu.

Francis Chua, founder of the International Chamber of Commerce of the Philippines, noted that there were lots of efforts and commitments from both sides before but those just fizzled out.

“We talked about lots of investments in previous years but all fizzled out, but this one they believe the two countries have better relations so they are encouraged to invest in the country,” said Chua.

“They want to look at the possible projects and to contribute in the technology and equipment supplies. They could be contractors, investors and owners. They are also looking at partnerships and joint venture deals with Filipino businessmen.”

As far as China, Chua said, ‘money is not an issue as long as the projects are good.”