Luggage maker to build factory in Bataan

MANILA, Philippines — Luggage manufacturer PLG Prime Global Co. is planning to build a factory in Bataan amid the lower reciprocal tariffs imposed by the United States on its trading partners including the Philippines.

In a social media post, the Philippine Economic Zone Authority (PEZA) said PLG Prime presented its plans to put up a manufacturing facility in Hermosa, Bataan during a meeting on April 16.

PEZA director general Tereso Panga and investment promotion partner Jayson Sze met with representatives of PLG Prime and Manila Economic and Cultural Office director Wilson Tecson to discuss investment opportunities in the country.

The American-Taiwanese company is a returning locator to the Philippines, with operations from 2018 to 2022 before transferring their luggage manufacturing to China.

“Because of the reciprocal tariff, they want to revive their operations in the country to be able to export to the US,” Panga said.

Apart from China, PLG Prime has facilities in Taiwan and the US.

Prior to US President Donald Trump’s 90-day pause on the reciprocal tariffs and lowering of the levy for most countries to 10 percent, the US imposed a 17-percent tariff on Philippine goods.

The 17-percent tariff imposed on Philippine exports to the US is the second lowest in Southeast Asia.

The Philippines has lost investors engaged in the manufacture of apparel, footwear and luggage to other countries such as China, Vietnam and Cambodia.

With the US reciprocal tariffs, PEZA hopes to revive these industries and attract investors to set up manufacturing facilities in the country.

Trade Secretary Cristina Roque told reporters that a garments manufacturer from Hong Kong has also expressed interest to expand in the Philippines because of the 17-percent tariff imposed by the US.

Roque is set to meet with the garments manufacturer to discuss the expansion plans by the end of the month.