Bataan freeport named Asia-Pacific industrial zone of the year

Insider Spotlight

• Freeport Area of Bataan (FAB) named Industrial Zone of the Year in Asia-Pacific by fDi Intelligence
• Recognition cites FAB’s expansion, efficient investor facilitation, and balanced sectoral growth
• Authority of the Freeport Area of Bataan (AFAB) expanding operations across Bataan under Republic Act 11453
  
  

The Freeport Area of Bataan (FAB) has been named Industrial Zone of the Year – Asia-Pacific in the fDi Intelligence Global Free Zones Awards 2025, placing it among the most competitive industrial and free zones in the region.

fDi Intelligence, a division of the Financial Times Group, annually recognizes global free zones that demonstrate strong investor readiness, innovation, and economic impact.

Why it matters

The award affirms FAB’s status as one of the Philippines’ most dynamic investment destinations, underscoring its success in attracting a diverse range of industries—from heavy manufacturing to emerging technology sectors.

The big picture

Established in 1969 as the country’s first export processing zone, FAB has evolved into a modern, multi-sectoral hub. It now hosts traditional industries alongside new players in fintech, blockchain, artificial intelligence, and business process outsourcing.

The Freeport’s ongoing expansion across Bataan has been supported by Republic Act No. 11453, which authorizes the creation of FAB Expansion Areas beyond its original site in Mariveles. These new areas offer investors access to streamlined processes and fiscal incentives.

Hussein Pangandaman

The AFAB chief is improving the freeport's facilities to attract more investments.

What they’re saying

“Under the leadership of AFAB administrator and CEO Hussein Pangandaman, AFAB continues to improve access, systems, and infrastructure to make the Freeport more competitive and responsive to global investors,” the agency said in a statement.

The award citation also recognized FAB’s investor-friendly policies, including a 5-percent gross income tax scheme that ensures fiscal stability and consistency for tenants, as well as its strategic location with strong connectivity to Metro Manila and other economic centers.

Notable investments

Among FAB’s major locators is Petron Corp., which operates the country’s largest oil refinery in the zone. Petron is also developing a co-methyl ester plant within the Freeport, further cementing FAB’s role in the Philippines’ energy and industrial sectors.

The bottom line

By balancing traditional industries with emerging sectors and expanding its reach beyond Mariveles, the Freeport Area of Bataan is positioning itself as a regional leader in sustainable industrial development and a key driver of Philippine competitiveness in the Asia-Pacific. —Daxim L. Lucas | Ed: Corrie S. Narisma