Agriculture

As of 2022^[update], agriculture employs 24 percent of the Filipino workforce^[47] accounting for 8.9 percent of the total GDP.^[48] The type of activity ranges from small subsistence farming and fishing to large commercial ventures with significant export focus.

The Philippines is the world's third largest producer of coconuts, and the world's largest exporter of coconut products.^[49] Coconut production is generally concentrated in medium-sized farms.^[50] The Philippines is also the world's third largest producer of pineapples, producing 2,862,000 metric tons (2,817,000 long tons; 3,155,000 short tons) in 2021.^[51]

Rice production in the Philippines is important to the food supply in the country and economy. The Philippines is the 8th largest rice producer in the world as of 2019^[update], accounting for 2.5 percent of global rice production.^[52] Rice is the most important food crop, a staple food in most of the country;^[53] it is produced extensively in Central Luzon), Western Visayas, Cagayan Valley, SOCCSKSARGEN, and Ilocos Region.^[54][55]

The Philippines is one of the largest producers of sugar in the world.^[56] At least 17 provinces located in eight regions of the nation have grown sugarcane crops, of which the Negros Island Region accounts for half of the country's total production. As of Crop Year 2012–2013, 29 mills are operational divided as follows: 13 mills in Negros, 6 mills in Luzon, 4 mills in Panay, 3 mills in Eastern Visayas and 3 mills in Mindanao.^[57] A range from 360,000 to 390,000 hectares (890,000 to 960,000 acres) are devoted to sugarcane production. The largest sugarcane areas are found in the Negros Island Region, which accounts for 51 percent of sugarcane areas planted. This is followed by Mindanao which accounts for 20 percent; Luzon with 17 percent; Panay with 7 percent and Eastern Visayas with 4 percent.^[58]

• A coconut grove in Dapitan
• A banana plantation in Padada
• Vast sugarcane plantations in Bacolod
• A rice field in Bulacan
• Pineapples in a market in Laguna

Automotive and aerospace

The ABS used in Mercedes-Benz, BMW, and Volvo cars are made in the Philippines. Automotive sales in the Philippines increased to 352,596 units in 2022 from 268,488 units a year prior.^[59] Toyota sells the most vehicles in the country;^[59][60] this is followed by Mitsubishi, Ford, Nissan, and Suzuki.^[59] Honda and Suzuki produce motorcycles in the country.^[61] Since around the 2010s, several Chinese car brands have entered the Philippine market; these include Chery and Foton Motor.^[62][63]

Aerospace products in the Philippines are mainly for the export market and include manufacturing parts for aircraft built by both Boeing and Airbus. Moog is the biggest aerospace manufacturer with base in Baguio; the company produces aircraft actuators in their manufacturing facility.^[64] Total export output of aerospace products in the Philippines reached US$780 million in 2019.^[65]

Electronics

A Texas Instruments plant in Baguio has been operating for 20 years and is the largest producer of DSP chips in the world.^[66][67] Texas Instruments' Baguio plant produces all the chips used in Nokia cell phones and 80% of chips used in Ericsson cell phones in the world.^[68] Toshiba hard disk drives are manufactured in Santa Rosa, Laguna.^[69] Printer manufacturer Lexmark has a factory in Cebu City.^[70] Electronics and other light industries are concentrated in Laguna, Cavite, Batangas and other CALABARZON provinces with sizable numbers found in Southern Philippines that account for most of the country's export.^[71]

The Philippine Electronics Industry is classified into (73%) Semiconductor Manufacturing Services (SMS) and (27%) Electronics Manufacturing Services (EMS) according to SEIPI, the largest organization of foreign and Filipino electronics companies in the Philippines.^[72] Electronic products continued to be the country's top export with total earnings of US$45.66 billion and accounted for 57.8 percent of the total export of goods in 2022.^[73]

Mining and extraction

The Philippines is rich in mineral and geothermal energy resources. In 2019, it produced 1,928 megawatts (2,585,000 hp) of electricity from geothermal sources (7.55% of total electricity production).^[74] A 1989 discovery of natural gas reserves in the Malampaya oil fields off the island of Palawan is being used to generate electricity in three gas-powered plants.^[75] Philippine gold, nickel, copper, palladium and chromite deposits are among the largest in the world.^[76][77] Other important minerals include silver, coal, gypsum, and sulphur. Significant deposits of clay, limestone, marble, silica, and phosphate exist.

About 60 percent of total mining production are accounted for by non-metallic minerals, which contributed substantially to the industry's steady output growth between 1993 and 1998, with the value of production growing 58 percent.^{[citation needed]} Philippine mineral exports amounted to US$4.22 billion in 2020.^[78] Low metal prices, high production costs, lack of investment in infrastructure, and a challenge to the new mining law have contributed to the mining industry's overall decline.^{[citation needed]}

The industry rebounded starting in late 2004 when the Supreme Court upheld the constitutionality of an important law permitting foreign ownership of Philippines mining companies.^[79] In 2019, the country was the 2nd largest world producer of nickel^[80] and the 4th largest world producer of cobalt.^[81] According to Philippine Statistics Authority, the total monetary value of four key metallic minerals which were appraised to Class A namely: copper, chromite, gold and nickel were valued at US$9.01 billion in 2022.^[82] Class A mineral resources are commercially recoverable that could contribute to economy annually.

Offshoring and outsourcing

Business process outsourcing (BPO) and the call center industry contribute to the Philippines' economic growth resulting in investment status upgrades from credit ratings agencies such as Fitch and S&P.^[44] In 2008, the Philippines has surpassed India as the world leader in business process outsourcing (BPO).^[83][84] The industry generated 100,000 jobs, and total revenues were placed at US$960 million for 2005. In 2011, BPO sector employment ballooned to over 700,000 people^[85] and is contributing to a growing middle class; this increased to around 1.3 million employees by 2022.^[86] BPO facilities are concentrated in IT parks and centers in economic zones across the Philippines:^[87] Metro Manila, Metro Cebu, Metro Clark, Bacolod, Davao City, and Iloilo City; other areas with significant pressence of the BPO industry include Baguio, Cagayan de Oro, Dasmariñas, Dumaguete, Lipa, Naga, and Santa Rosa, Laguna.^[88] The majority of the top ten BPO firms of the United States operate in the Philippines.^[89]

Call centers began in the Philippines as plain providers of email response and managing services and is a major source of employment. Call center services include customer relations, ranging from travel services, technical support, education, customer care, financial services, online business to customer support, and online business-to-business support. The Philippines is considered as a location of choice due to its many outsourcing benefits such as less expensive operational and labor costs, the high proficiency in spoken English of a significant number of its people, and a highly educated labor pool.^[90][91]

The growth in the BPO industry is promoted by the Philippine government. The industry is highlighted by the Philippines Development Plan as among the 10 high potential and priority development areas. The government provides incentive programs such as tax holidays, tax exemptions, and simplified export and import procedures. Additionally, training is also available for BPO applicants.^[92]

Renewable energy resources

The Philippines has significant potential in solar energy; however, as of 2021^[update], most of the domestically produced electricity is based on fossil fuel resources, particularly coal.^[93][94] The country produced 7,399 megawatts (9,922,000 hp) of renewable energy in 2019.^[74]

On November 15, 2022, the renewable energy sector was granted the ability to operate with 100 percent foreign ownership, an increase from the previous 40 percent limit. This change allows for the infusion of foreign capital into the renewable energy (RE) industries. The Department of Energy is targeting an increase in the share of renewable energy in the country's power generation mix, aiming for 35 percent by 2030 and 50 percent by 2040, up from the current 22 percent.^[95] Danish firm Copenhagen Infrastructure Partners (CIP) is investing US$5 billion to develop three offshore wind energy projects with a potential capacity of 2,000 megawatts (2,700,000 hp); it will be located in Camarines Norte and Camarines Sur (1000 MW), Northern Samar (650 MW), Pangasinan and La Union (350 MW).^[96] In 2022, the share of RE in the energy mix was at 22.8 percent.^[97]

Shipbuilding and repair

The Philippines is a significant player in the global shipbuilding industry^[98] with 118 registered shipyards in 2021^[99] distributed in Subic, Cebu,^[100] Bataan, Navotas and Batangas.^[101][102] As of 2022, it is the seventh largest shipbuilding nation by gross tonnage.^[103] Subic-made cargo vessels are exported to countries where shipping operators are based. South Korea's Hanjin started production in Subic in 2007 of the 20 ships ordered by German and Greek shipping operators.^[104] Bulk carriers, container ships and big passenger ferries are built in the country's shipyards. General Santos' shipyard is mainly for ship repair and maintenance.^[105]

Surrounded by waters, the country has abundant natural deep-sea ports ideal for development as production, construction and repair sites. In the ship repair sector, the Navotas complex in Metro Manila is expected to accommodate 96 vessels for repair.^[106] Shipbuilding is part of Philippines' maritime heritage;^[107] employing over 600,000 people and contributing almost 15 percent of revenues to the ocean-based industries.^[108][109]

Tourism