Malaysia Eyes US$10 Bln Bilateral Trade With Philippines -- Mohamad Hasan

From Vikneswaran Raman

MANILA, Aug 18 (Bernama) -- Malaysia welcomes the positive momentum in its economic relations with the Philippines and hopes that bilateral trade can reach US$10 billion within the next two years, said Foreign Minister Datuk Seri Mohamad Hasan.

Currently, Malaysia and the Philippines enjoy strong bilateral trade, which reached US$8.22 billion in 2025.

“There is significant potential for both countries to further strengthen their economic ties, particularly by deepening cooperation in the digital economy.

“We also discussed emerging areas such as energy transition,” he said at a press conference after co-chairing the Ninth Philippines-Malaysia Joint Commission Meeting (JCM) with Philippine Foreign Secretary Ma. Theresa P. Lazaro at the Department of Foreign Affairs here today.

The Philippines ranked as Malaysia’s 17th-largest trading partner globally and fifth within ASEAN last year with US$8.22 billion in trade. Meanwhile, Malaysia was the Philippines’ ninth-largest trading partner globally and fourth-largest within ASEAN.

Bilateral trade from January to May 2026 increased 9.5 per cent to US$4.21 billion, from US$3.46 billion in the same period last year.

Meanwhile, speaking to Bernama after the JCM, Mohamad is confident of achieving the US$10 billion bilateral trade benchmark following strong economic prospects in the Philippines, especially in the Mindanao region, and by increasing intra-ASEAN trade.

“ASEAN’s main goal is to prioritise trade between member countries and add value since intra-ASEAN trade remains low. We do not want to become overly dependent on external markets.

“So it is not impossible for us to increase the trade volume between the two countries, as well as investments. There are many investment opportunities, especially in the southern area, including the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM),” he said.

Mohamad said many Malaysian companies, including Maybank, have long established a presence in the region, and the Philippine government also welcomes Malaysian investors to expand their investments and explore new opportunities.

He said both countries also discussed ways for the Philippine government to facilitate Malaysian investors seeking to invest in the BARMM.

Mohamad said the region offered significant investment potential for Malaysian companies, particularly multinational plantation companies, given its large population and fertile land.

“The land there is fertile and can serve as a new area for Malaysian plantation companies to bring investment and open new plantations there,” he added.

Mohamad said Malaysia and the Philippines, as close neighbours and ASEAN partners, play a crucial role in ensuring the regional bloc remains united, resilient, competitive and relevant.

“Our cooperation should continue to translate into tangible benefits for our businesses, communities and peoples,” he added.

-- BERNAMA