The planned expansion will increase Toshiba’s production capacity for nearline hard disk drives (NL-HDDs), strengthening the Philippines’ role in the Japanese technology giant’s global manufacturing network.
Finance Secretary and investment czar Frederick Go met with Toshiba officials led by chief operating officer and senior executive vice president Koji Ikeya to discuss the investment, the Department of Finance (DOF) said in a statement.
Data center demand
NL-HDDs are high-capacity storage devices widely used in data centers, where demand for storage continues to increase with the rapid growth of artificial intelligence, cloud computing, digital services and other data-intensive technologies.
The expansion could allow the Philippines to capture a larger share of growing global demand for data storage while building its capabilities in advanced electronics manufacturing.
“We see Toshiba’s planned expansion as an opportunity to strengthen our industrial base, build an electronics and tech industry ecosystem that creates quality jobs for Filipinos, and position the Philippines to capture opportunities in the growing global technology and data economy,” Go said.
“Toshiba’s continued commitment to the Philippines is a testament to the success of reforms such as CREATE MORE in attracting long-term investments,” he added.
Go and representatives of the Philippine Economic Zone Authority assured Toshiba that the government would facilitate the planned investment and support its long-term manufacturing operations.
Three decades
Toshiba has maintained manufacturing operations in the Philippines for more than three decades and considers the country a major production base for its global HDD business.
“The Philippines has been an important part of Toshiba’s manufacturing operations for more than three decades. We remain committed to growing our presence here, building on the skills and dedication of our Filipino employees, and working with the Philippine government to advance our next phase of investment,” Ikeya said.
Toshiba established Toshiba Information Equipment (Philippines) Inc. at Laguna Technopark in 1995 and began operations the following year.
The company now operates two major manufacturing facilities in Laguna, including a second site at Carmelray Industrial Park 1 in Calamba.
Higher-value manufacturing
Its Philippine operations manufacture and assemble hard disk drives, enterprise solid-state drives and advanced helium-filled HDDs. They also provide engineering and design services, rework and printed circuit board assembly.
The latest investment is expected to create opportunities to develop Filipino technical talent, deepen linkages with local suppliers and expand higher-value manufacturing activities.
For the government, Toshiba’s expansion also supports efforts to attract more technology-intensive investments and move the country further up the global electronics value chain as demand from AI, cloud computing and data centers grows. —Ed: Corrie S. Narisma
