Silicone Oil in Philippines- Philippines's Industrial Development & Silicone Oil

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The Philippines is located in the southeast of Asia, across the Bashi Channel in the north and Taiwan, China Province in the south and southwest. The Sulawesi Sea and Balabac Strait are facing Indonesia and Malaysia, bordering the South China Sea in the west and the Pacific Ocean in the east. The Philippines has a total area of 299700 square kilometers, a coastline of approximately 18533 kilometers, and a total of over 7000 islands of all sizes.

The country is divided into three major parts: Luzon, Visaya, and Mindanao, with a capital region and Cordillera administration. There are 81 provinces, 145 cities, 1489 administrative cities and 42036 towns in 17 regions, including Mindanao and Autonomous Region in Muslim Mindanao.

The capital is Metro Manila, consisting of 17 cities (districts) with an area of 638 square kilometers and a population of 15 million.

In recent years, the macroeconomic development of the Philippines has been relatively stable, with an economic growth rate of over 6%.

In 2020, affected by the COVID-19, the actual economic growth rate will drop significantly to -9.6%, and the per capita GDP growth rate will drop significantly to -10.8%. In 2021, with the comprehensive recovery of the service industry, the total economic output (GDP) of the Economy of the Philippines will be 393.6 billion dollars, the actual economic growth rate will return to 5.6%, and the per capita GDP will be 3570 dollars.

In 2021, as the Philippine economy gradually recovers, the unemployment situation in the Philippines has improved, but it is still lower than the pre pandemic level.

The annual average unemployment rate is 7.8%, 2.5 percentage points lower than in 2020, with the number of unemployed reaching 3.71 million; The labor participation rate was 63.3%, 3.8 percentage points higher than the previous year; The total number of employed people is approximately 44 million; The rate of underemployment (i.e. those who are currently employed but still looking for other jobs) reached 15.9%, 0.3 percentage points lower than the previous year. The employment situation has improved since 2022. The unemployment rate in July was 5.2%, a decrease of 2 percentage points compared to the same period in 2021, setting a new low since the epidemic; The underemployment rate is 13.8%, a significant decrease of 7.2 percentage points compared to the same period in 2021.

In 2021, the top ten trade partners of the Philippines are Chinese Mainland, the United States, Japan, South Korea, Hong Kong SAR, Singapore, Indonesia, Thailand, Taiwan, China, and Malaysia. Except for the United States and Hong Kong, the Philippines has a trade deficit with all eight other major trading partners. The trade volume between China and the Philippines accounts for 17.3% of the total foreign trade volume of the Philippines; China is the largest source of the Philippines' trade deficit, with the Philippines' trade deficit with China accounting for 23.4% of its total deficit.

The Philippines is a member of the World Trade Organization (WTO), Asia Pacific Economic Cooperation (APEC), and ASEAN. At present, the Philippines has signed various bilateral economic and trade agreements or arrangements with nearly 40 countries and regions; We have signed tax treaties with 39 countries. These treaties aim to promote international trade and investment, avoid double taxation, and combat tax evasion.

Philippines’ Industries

The Philippine industry is divided into agriculture, forestry, fishing, and hunting, industry, and service industries. In 2021, the three major industries in the Philippines increased

The proportion of value to GDP is 10.1%, 28.9%, and 61%, respectively.

1.      Agriculture, Forestry, Fishing and Hunting Industry.

In 2021, the added value of the Philippine agriculture, forestry, fishing and hunting industry was 1.95 trillion pesos (current price), accounting for approximately 10.1% of GDP. In 2021, agricultural production increased by 2.2%, higher than the 1.6% increase in 2020. Among the crops, the yields of rice and corn increased by 3.3% and 2.2% respectively, while the yields of sugarcane, coffee, rubber, cocoa, and tobacco continued to grow. The yields of coconuts, bananas, mangoes, and pineapples recovered from the downward trend in 2020, but the yields of cassava, banana, and other crops (such as onions and eggplants) continued to decline in 2021 and have not yet recovered from the downturn in 2020.

2.      Manufacturing Industry.

In 2021, the industrial added value of the Philippines was 5.61 trillion pesos (current price), accounting for approximately 28.9% of GDP. Among them, the added value of the manufacturing industry is 3.42 trillion pesos (current price), accounting for approximately 17.6% of GDP. Filipino manufacturing owner. It should include electronic component production, food processing, chemical product manufacturing, etc.

3.      Service Industry.

In 2021, the added value of the Philippine service industry was 11.9 trillion pesos (current price), accounting for approximately 61% of GDP. Among them, the added value of wholesale, retail, and automotive repair industries is 35 trillion pesos (current price), accounting for approximately 18% of GDP. In 2021, the direct added value of the Philippine tourism industry will be 1 trillion pesos, up 9.2% from 917.2 billion pesos in 2020, and its contribution to the Economy of the Philippines economy is estimated to be 5.2%; The number of employed people in the tourism industry is approximately 4.9 million, an increase of 4.6% from 4.68 million in 2020.

Silicone Oil in Philippines Industries

It is similar with the situation in other SEA countries; Philippines agriculture also relies on chemical way to prevent crops from insects or natural disasters. Silicone oil could do that effectively by being used as some protection agent. As for manufacturing industry, silicone oil has a wider range of applications including being the raw materials, being some agents and also could be used in some physical way (like heat isolation board), the typical manufacturing industry that use silicone oil a lot could be automotive and machine manufacturing. For service industry, silicone oil could be used as treadmill for car parts or other small or subtle devices since silicone oil is physically and chemically stable.