Philippine Construction Industry to See Explosive Growth

   BMI Research, a research Institute of Fitch, pointed out that the Philippine construction market is expected to grow at an average rate of 11.2% in 2017 and 2021, which will make the Philippines the best and fastest growing construction market in the world, which will also promote the growth of demand for building materials.

   According to the press release, some cement plants in the Philippines have announced capacity expansion plans to meet the growing demand for cement.

   In January this year, Cemex's Philippine subsidiary announced a 1.5 million ton clinker capacity expansion plan, which will be carried out at its Solid cement plant; Eagle Cement also announced its expansion plans, with plans to add a third production line on Bulacan Island and a fourth on Cebu Island, aiming to double its production capacity to 9.1 million tons per year by 2020; A Manila-based company, DMCI, has announced that it will invest US $340 million to build a new cement plant on Semirara Island. The plant will be supplied with limestone resources and low-calorific coal from its DMCI Semirar Coal and Energy subsidiary. According to the chairman of DMCI, the plant will take advantage of the island's location. Provide approximately 2.3 million to 2.4 million tons of cement.

   "Transportation and communications are currently the biggest weaknesses facing the government, so vigorous development of related infrastructure is the primary goal of the government," the BMI study said. Gradually starting to get rid of the original PPP model is also the bottleneck of the government's efforts to overcome its private investment variables. Since 2010, only five of the 56 PPP infrastructure investment plans have actually started.

   The Duterte government has received a lot of financial support from China and Japan, such as the $24 billion investment agreement signed by China and the Philippines in 2016, the $8.7 billion investment agreement signed by Japan in January 2017, and the Philippine government, like other governments. It wants to continue to strengthen its economic and political influence in the Philippines by improving its infrastructure.