Local chipmakers see 1% to 2% revenue growth in 2025
A local trade association of semiconductor and related electronic products manufacturers expects an almost flat revenue growth this year.
This would mean a slight rebound after back-to-back contractions in the last two years.
Danilo Lachica , president of the Semiconductors and Electronics Industries in the Philippines Foundation Inc. (Seipi), said the industry is coming from a slide of 8 percent in 2023 and 6 percent in 2024.
“So, we’re treading carefully,” Lachica said last week. He spoke to reporters on the sidelines of the Aboitiz InfraCapital Economic Estates Industrial Summit 2025 held in Makati City.
“The other thing we need to understand is, when you attract [investments], even if they sign the contract now, it takes a year or two to get the investment into a production mode,” he said further.
Still, Lachica noted growing investor interest in the Philippines. He cited one foreign firm that has cut its operations in China by 50 percent and is relocating to the Philippines.
The Seipi president also expressed hope that funding from the US Creating Helpful Incentives to Produce Semiconductors and Science Act would be unfrozen. This would enable the local industry to tap it for workforce training and capacity-building workshops.
The measure includes a $500-million International Technology Security and Innovation Fund. This is allocated over five years to seven countries, with the Philippines identified as one of its primary beneficiaries.
Local production
Lachica said they are also currently still pushing for the establishment of a laboratory-scale wafer fabrication and production facility.
This is seen as a step toward reducing the local industry’s dependence on wafer imports from Taiwan. The facility would lay the groundwork for domestic production.
Lachica said the initiative is estimated to require around $10 million in funding under their proposal.
They expect support from agencies such as the Department of Trade and Industry and the Department of Science and Technology.
