Investments in electronics up 20% to $480 million in 2009

MANILA, Philippines - Investments in the country’s electronics sector went up 20 percent in 2009 compared to the previous year as the global economy starts recovering from the recent financial crisis, the Semiconductor and Electronics Industries in the Philippines Inc. (SEIPI) reported.

In a statement, SEIPI president Ernie Santiago said investments last year amounted to $480 million from $400 million reported the year before.

Likewise, the electronics industry has upgraded its export target for electronics exports for 2010, from a range of 10-15 percent to 15 percent 20 percent as many industry members reported record high orders from customers abroad.

According to Santiago, expansions in production of many investments projects were delayed in 2009 but were reported to be all rolling out now. With the recovering global economy, it is expected that more investments would come in the country this year.

A total of 84 electronics companies registered new investments which are expected to bolster the further growth of the industry. Of the 84 companies, 78 are registered as new projects while six are expansion projects. Hoya Glass Disk, Toshiba Information Equipment, HPOI, Ibiden, STMicroelectronics, Temic, Taiyo Yuden and Numonyx are among the top investing companies.

After experiencing a business downturn that resulted to the rationalization of workforce by the industry due to the global financial crisis, more than 12,000 skilled engineers, technicians and operators are now expected to be directly employed and hired by the industry due to these investments, Santiago said.

From an industry study, for every direct job, there are seven other indirect jobs that will created. Given this, close to 100,000 new workers will be employed because of these new investments, he added.