NEW locators in the Mactan Economic Zone are expected to generate around 1,000 jobs, underscoring renewed investment momentum in Cebu even as the country transitions toward higher-value, technology-driven industries.
In an interview on Wednesday, April 15, 2026, Philippine Economic Zone Authority (Peza) Director General Tereso Panga said recently approved and incoming firms, including Japanese companies such as Oakwave and Inventory Management Services Inc., are set to begin operations in Mactan’s economic zones, creating immediate employment opportunities. He said more hiring is expected as additional locators enter and existing firms expand.
The influx of investments comes amid a broader structural shift in the country’s manufacturing landscape, with Panga noting a gradual move away from low-cost, labor-intensive sectors toward advanced, high-tech industries.
Garments losing competitiveness
Earlier, 580 workers in MEZ 2 lost their jobs after a Taiwanese company, which specializes in sports apparel, closed its doors due to a severe shortage of incoming orders. The closure began on March 14, 2026. City Public Employment Service Office head Kim Francisco confirmed that the lack of business orders forced the company to stop operations entirely.
Commenting on the closure, Panga said traditional segments such as garments are losing competitiveness against lower-wage countries, prompting investors to pivot to more sophisticated operations that require higher skills and deliver greater value-added output.
Peza said this transition is driving increased interest in advanced manufacturing, electronics, and other technology-enabled sectors, aligned with the government’s push to generate “quality jobs” and future-ready employment.
“The direction now is toward industries that create higher-value activities and more sustainable employment,” Panga said.
Ecozone expansion underway
To support this shift and sustain investor interest, Peza is also expanding its ecozone pipeline in Cebu.
The agency is planning the development of an additional 20 hectares of land near the Mactan-Cebu International Airport under a sub-developer model, aimed at accelerating the availability of investment-ready sites in a prime location.
The proposed expansion is expected to strengthen Cebu’s position as a key investment hub, offering proximity to an international gateway while catering to the requirements of high-tech locators.
In September last year, Peza said it is pushing two major projects in Cebu that could reshape its role as an investment hub: the development of a 20-hectare Aerotropolis Ecozone beside the Mactan-Cebu International Airport and the proposed 50-hectare expansion of the MEZ 1 through reclamation.
In a Facebook post, Panga met with the Mactan-Cebu International Airport Authority during his Sept. 5–6, 2025, visit to Cebu to discuss the planned Aerotropolis, which will be dedicated to aviation-related industries such as aircraft maintenance, logistics, warehousing and aerospace support services.
Alongside this, Peza and stakeholders are exploring the reclamation of 50 hectares along the Mactan Channel to expand MEZ 1. The additional industrial space is envisioned to accommodate export-oriented enterprises, logistics operations and high-value industries, strengthening Cebu’s standing as a premier investment destination in the Visayas.
The combination of fresh job-generating investments, industry upgrading, and strategic zone expansion places Cebu in a strong position to attract more foreign direct investments, particularly from firms seeking to diversify supply chains in Southeast Asia.
With new locators driving immediate employment and a clear pivot toward innovation-led industries, Panga said Cebu’s economic zones are poised to play a larger role in the country’s evolving investment landscape. / KOC