Aboitiz turns circular economy into engine for resilient growth

Insider Spotlight

• Aboitiz is linking businesses so waste and resources from one operation can become inputs for another
• Its circular value chain already connects beverage production, PET recycling and cement manufacturing
• The strategy matters as fast-growing Philippine cities face mounting pressure on water, energy and waste systems
  
  
  
  

The Aboitiz Group is expanding its circular economy strategy across its businesses, betting that closer links among industries can reduce waste, conserve resources and make economic growth more resilient.

At the Mandaue Chamber of Commerce and Industry Business Summit 2026, Aboitiz Equity Ventures chief reputation and sustainability officer Ginggay Hontiveros-Malvar said the group is connecting businesses spanning food and beverage, power, infrastructure, real estate and banking into a broader resource-sharing ecosystem, as detailed in an Aboitiz company release.

Why it matters

Rapid expansion in growth centers such as Cebu brings investment and jobs, but also increases pressure on freshwater supplies, waste systems and other infrastructure. A circular model could allow companies to stretch existing resources further while reducing dependence on virgin materials.

“Circularity is not just about recycling or waste management. It is about redesigning business ecosystems so that one company’s waste, assets, energy, water, logistics and capabilities become another company’s input,” Hontiveros-Malvar said.

How it works

One example connects Coca-Cola Europacific Aboitiz Philippines, PETValue Philippines and Republic Cement. PET bottles collected through the Tapon to Ipon network are processed by PETValue into food-grade recycled PET for new beverage bottles.

Materials unsuitable for bottle production, including certain caps and labels, can instead be recovered by Republic Cement and co-processed as alternative fuel. Republic Cement has diverted more than 1.5 million metric tons of residual plastic waste from landfills through co-processing, the release said.

“Circular economy succeeds even better when industries work together. No single company can create this system alone,” Hontiveros-Malvar said.

Beyond waste

The strategy also covers natural-resource regeneration. Through CarbonPH, Aboitiz has committed to a 40-year initiative covering approximately 71,000 hectares of forest and watershed landscapes in Cebu, aimed at supporting watershed health, groundwater recharge and resilient water supplies.

At LIMA Estate, meanwhile, the Sustainability Hub combines greywater reuse, composting, materials recovery, plastic recycling, renewable energy and biodiversity initiatives.

The broader relevance is economic. By connecting waste recovery, water management, energy and industrial operations, Aboitiz is positioning circularity not simply as an environmental program but as infrastructure for sustaining investment and business expansion as Philippine growth centers become more resource-intensive.

“The future of circularity is not about building more recycling facilities. It is about building better business connections,” Hontiveros-Malvar said. —Princess Daisy C. Ominga | Ed:Corrie S. Narisma