Renewing ties with China spells investments, tourists
President Rodrigo Duterte's move to reset relations with China is seen to bring in more Chinese investments in the country and tourists from the world's second largest economy, said an official from the Cebu Filipino-Chinese Chamber of Commerce.
In a phone interview with The FREEMAN yesterday, Dickson Lim, vice president and director of CFCCC, said Chinese investments particularly in areas of transport and communication infrastructure are likely to increase.
He said China can invest in fast railway transport projects in the country.
The China-led Asian Infrastructure Investment Bank (AIIB), where the Philippines is a member, is designed to address the infrastructure financing needs of Asian cities.
Aside from infrastructure, Cebuano-Chinese businessman Philip Tan, former president of Mandaue Chamber of Commerce and Industry, also sees the agriculture industry benefiting from the improved ties with China.
"Infrastructure and agriculture — these are the two major areas the Chinese government can make a difference in the Philippine economy as a whole," he told The FREEMAN in a separate interview on Tuesday.
China had earlier lifted restriction on Philippine agriculture exports ahead of the President's visit to Beijing this week.
Tan said Duterte's friendly approach towards China is a positive thing, although he does not think the President can also afford to lose ties with United States and other allied countries.
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Lim said trade relations between the two countries have always been good despite the territorial disputes in the South China Sea.
Proof to this, he said, is the fact that most products available in the Philippine market are made from China, citing electronics, construction materials, raw materials, and textiles, among others.
He noted the Asian giant has always been a potential market, with around 1.3 billion population
"It has always been business as usual. We are rival at sea but we are ally in trade," Lim said.
Duterte earlier vowed the Philippines will not give up its claims to the South China Sea even if it seeks closer ties with China.
Last July, the international tribunal ruled that China's claims to most of the sea had no legal basis and that it's artificial island-building was illegal, favoring the Philippines.
But China has ignored the Philippines' victory in the ruling of the Hague-based tribunal.
This week, Duterte is in a four-day state visit in China starting yesterday, bringing up to 400 business leaders including some of the country's wealthiest tycoons in an aim to exchange views with Chinese leaders on how to further improve relations.
Duterte's state visit to China is the first meeting between the heads of states of the two nations in five years.
Duterte and Chinese President Xi Jinping are expected to sign several agreements to boost ties between the two nations.
The country’s business delegation includes San Miguel Corp. President Ramon S. Ang; JG Summit Holdings President Lance Y. Gokongwei; Enrique K. Razon Jr., chairman of gaming giant Bloomberry Resorts Corp. and global port operator International Container Terminal Services Inc.; Hans T. Sy, son of the Philippines’ richest man Henry S. Sy Sr. who controls SM Investments Corp.; as well as liquor and tobacco magnate Lucio C. Tan, who also owns Philippine Airlines Inc.