Source: 1

Manufacturing in the Philippinesフィリピンにおける製造

Presented byArthur Tan

CEO, Integrated Micro-Electronics, Inc (IMI)Group CEO, AC Industrial Technology Holdings Inc (Ayala)

2Source:

Outline

The Philippines

Automotive Industry

Electronics Industry

The Philippines フィリピンに関して

3Source: Euromonitor International 2016 Philippines Country Profile

5.9%7.1%

GDP grew 5.9% in 2015 and 7.1% in Q3 2016

15‐64years0‐14

years

65+years

102Million

Population grew by 1.5%

Electronic Products & Equipment account for 43% of all exports

The Philippines and the AEC フィリピンとASEAN経済共同体

Source: HKTDC Research | DTI 4

2014 2015

Population 621M 629M

GDP $2,519B $2,432B

GDP Growth 4.7% 4.7%

ASEAN Economic Community

With the launch of the ASEAN Economic Community, The Philippines is a strategic entry point to access the ASEAN market of more than 600 Million people.

Infrastructure Development インフラの発展性

Source: Infrastructure In-depth: Philippines | KPMG 5

The Philippines recognizes the importance of developing infrastructure.

• Sea Ports• Air Ports

• Rail• Roads

Php211BPhp211B

Php146BPhp146B

Php12BPhp12B

Php11BPhp11B

Competitive & Growing Skilled Labor Pool競争力と知識を兼ね備えた労働者

Source: CHED | Philstar | DTI | JETRO 6

189.041

99.722

84.857

75.754

66.005

140.905

0 50 100 150 200千

Business Administration

EducationInformation Technology

Medical

EngineeringOthers

Top 5 Fields for 2015

• Educated• Trainable• Customer‐Oriented• Adaptable to different cultures

Graduates are:Graduates are:

2014

2015

553,706

656,284

Wage Increase in ManufacturingLowest Increase Over 5 Years

5.5% 4.8% 4.8% 5.0% 4.9%0%

5%

10%

15%

20%

25%

30%

2012 2013 2014 2015 2016

Philippines

Thailand

Vietnam

Indonesia

China

Number of Graduates

Automotive Industry⾞載産業

7Source:

ASEAN Vehicle Sales Performance ASEAN 車販売実績

Source: ASEAN Automotive Federation 8

(11%)

(4%)

(1%)

‐15%

‐5%

0

0.75

1.5

2.25

3

3.75

2014 2015 2016

百万

Passenger & Commercial Vehicle Units Sold

Vietnam

Brunei

Thailand

Singapore

Philippines

Malaysia

Indonesia

Growth Rate

35%

65%Passenger Vehicles

Commercial Vehicles

Passenger Vehicles

Commercial Vehicles

1 Indonesia736,664 Units

Thailand443,569 Units

2 Malaysia591,298 Units

Indonesia276,627 Units

3 Thailand356,063 Units

Philippines172,228 Units

4 Philippines116,381 Units

Vietnam93,039 Units

Vehicle Sales Ranking 2015

Annualized values based on YTD Aug 2016

ASEAN Vehicle Sales Forecast ASEAN車販売フォーキャスト

Source: ASEAN Automotive Outlook 2016 by Research & Markets 9

1.7MVehicles1.7M

Vehicles2.5M 

Vehicles2.5M 

Vehicles3‐6M

Vehicles3‐6M

Vehicles

2004 2010 2015‐2020

ASEANMarket Size

33%

22%9%

26%

7%

Philippines

Thailand

Malaysia

Indonesia

Vietnam

PhilippinesVietnam

ThailandIndonesia

83,862

75,679

ASEAN is the 5th Largest Automotive Market Globally

Growth in 

Sales

13%

41%

21%

10% 10% 10% 10%

0

200

400

600

0%

15%

30%

45%

2014 2015 2016 2017 2018 2019 2020

千

Passenger & Commercial Vehicles Sold

Commercial Passenger Growth Rate

Philippines Passenger & Commercial Vehicle Salesフィリピン 自動車＆商用車販売

Source: CAMPIAuto | PhilStar 10

projected

63%

37%Passenger Vehicles

Commercial VehiclesFord

Toyota Isuzu

HondaTop Five Brands

Mitsubishi

Units

2016 348,494

2017 383,343

2018 421,678

2019 463,846

2020 510,230

ASEAN Motorcycle & Scooter SalesASEAN 二輪自動車＆スクーター販売

11Source: ASEAN Automotive Federation

(2%)

(13%)

(3%)

‐15%

‐10%

‐5%

0%

0

3

6

9

12

2014 2015 2016

百万

Motorcycle & Scooter Units Sold

Thailand

Singapore

Philippines

Malaysia

Indonesia

Growth Rate

Annualized values based on YTD Aug 2016

1 Indonesia6.7M Units

2 Thailand1.6M Units

3 Philippines850K Units

Motorcycle Sales Ranking 2015

1 Indonesia3.9M Units

2 Thailand1.1M Units

3 Philippines737K Units

Motorcycle Sales as of Aug 2016

Philippines’ Motorcycle & Scooter Salesフィリピン 二輪自動車＆スクーター販売

Source: ASEAN Automotive Federation | PhilStar 12

5%8%

30%

23% 23% 23% 23%

‐5%

0%

5%

10%

15%

20%

25%

30%

35%

0

500

1,000

1,500

2,000

2,500

3,000

2014 2015 2016 2017 2018 2019 2020

千

Units Growth Rate

projected

Honda

Kawasaki

Kymco

Yamaha

Suzuki

Top Five Brands

The  Philippines will be the second largest motorcycle market in ASEAN by 2020

Philippines

Thailand2nd

3rd

ASEAN Automotive Production ASEAN 自動車生産

Source: ASEAN Automotive Federation 13

(10%)

(2%)

2%

‐12%

‐10%

‐8%

‐6%

‐4%

‐2%

0%

2%

4%

0

750

1500

2250

3000

3750

4500

2014 2015 2016

千

Automotive Production by Country28%

16%

3%49%

4%

Annualized values based on YTD Aug 

2016

Thailand

Malaysia

Indonesia

Vietnam

Philippines

3,896,967 Total Vehicles2,284,463 Passenger Vehicles

1,612,504 Commercial Vehicles

3.8MUnits

ASEAN Motorcycle & Scooter ProductionASEAN 二輪自動車＆スクーター生産

14Source:

(3%)

(21%)

(13%)

‐25%

‐15%

‐5%

0

2

4

6

8

10

2014 2015 2016

百万

Motorcycle & Scooter Production by Country

66%4%

9%

21%

Annualized values based on YTD Aug 2016

Thailand

Malaysia Indonesia

Philippines

No available data for Vietnam

1.Indonesia  5.6M2.Thailand  1.8M3.Philippines 0.7M4.Malaysia  0.3M 

8.6MUnits

Philippines Sales Vs Production フィリピン 販売vs生産

15

205289

348

510

89 99 111

375

0

100

200

300

400

500

2014 2015 2016 2020

千

Automotive Sales vs Production

Source: DTI

Increase Capacity by 

150%By 2020

70%Knockdown

30%Build Up

790 8511,106

2,530

755 7961,011

2,126

0

750

1,500

2,250

2014 2015 2016 2020

千

Motorcycle & Scooter Sales vs Production

2.5 Million UnitsBy 2020

95%Knockdown

5%Build Up

•Comprehensive Automotive Resurgence Program•Comprehensive Motor Vehicle Development Program

•Restructured Motor Vehicle Development Program• Industry Development Program

Government Programs

Bridging the Gap: Philippines Automotive Industryギャップの橋渡し: フィリピン車載産業

16Source: BOI Automotive Industry Roadmap

Revitalizing the Automotive Industry

Established supporting allied industries

Growing market & improving 

economy

Skilledand Capable Labor Pool

Parts & ComponentsManufacturers

Vehicle Manufacturers

フィリピンにおける電⼦機器製造

Electronics Manufacturingin the Philippines

Manufacturers in the Philippines フィリピンの製造業者

18Source: SEIPI

The Philippines is a manufacturing hub for many electronics companies, large and small, foreign and filipino.

International Companies Include: Tsukiden

ToshibaShin Etsu

Fujitsu TenFutaba

IMIIonicsFastech Synergy

Filipino Companies:Include

Electronics Manufacturing Export 電子部品の輸出

2529

3336

33

4852

5762 59

2011 2012 2013 2014 2015

Philippine Exports in USD$ BillionsPhilippines’ Exports WITH Electronics

Philippines’ Exports WITHOUT Electronics

Source: PSA

The Philippines Electronics Exportフィリピンにおける電子部品の輸出

20Source: PSA

Semicon70.32%

Electronic Data Processing     18.56%

Telecom2.73%

Control and Inst2.33%

Consumer Electronics     2.15%

Comm/Radar1.62%

Office Equipment        1.25%

その他11.12%

Electronics Exports from January to July 2016

Medical / Industrial 0.45%Automotive 0.6%

$16BUSD

Automotive camera is forecasted to have a CAGR of 11% from 2015‐2020

Increase in demand for luxury vehicles 

Growing influence of New Car Assessment Program (NCAP)

Increased focus of insurance companies on safety measures due to road accidents

Automotive Electronics Segment 車載における電子部品分野

2015 2020

CAGR

$10B

$17B

11%

Source: Markets and Markets

Industrial Electronics Segment 電子産業分野

Source: New Venture Research

CAGR

3.3%

2015 2020

$136B

$116B

Industrial electronics will grow at a CAGR 3.3% from 2015‐2020

Product segments that will continue to grow to be PLCs, smart grid hardware, oil/gas technology investment, power supplies/batteries, semiconductor equipment, robotics, LED lighting, and clean energy

$75B

Medical Electronics Segment 医療機器分野

Source: New Venture Research

2015 2020

CAGR

$62B

$75B

3.9%

Medical Electronics will grow at a CAGR 3.9% from 2015‐2020

Medical Diagnostics will experience most growth, which include X‐ray, MRI in‐vitro tomography imaging and other measuring devices.

Monitoring and Surgical electronics such as life support, ventilation and others will continue to add to growth of the segment

$75B

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Source: |

Ayala is one of the largest business groups in the Philippines with a portfolio that contains multiple engines of growthAyalaはフィリピン最大の財閥グループの一つで、現在成長著しい多分野においてビジネスを展開しています。

AYALA GROUP PROFILE アヤラグループ概要

• Ayala Corporation

Leading and most diversified property developer in the country with the largest landbank

Pioneering financial institution and one of the most profitable banks in the country

Regional player in water infrastructure services and development

Leading digital lifestyle and content producer, supported by a robust telecom platform

100.0% 100.0%

New investments in educational institutions delivering affordable high quality  education to improve outcomes and employability

100.0%

Real Estate Financial Services Telecommunications Water Utilities

Power and Transport Industrial Social Infrastructure

Developing a portfolio of businesses focused on affordable medicine and primary health care services

100.0%

A Y A L AE D U C A T I O N

Emerging major player in power generation with a combination of both renewable and conventional power assets

Growing portfolio of key transport infrastructure public‐private‐partnerships (PPPs) in the Philippines 

Approx. market cap (US$ Mn) Ayala ownership %

For publicly listed entities:

$11Bn 47.2% $8Bn 48.3% $6Bn 30.7% $1.5Bn 48.5%

Developing an industrial technology group with focus on the Ayala group’s emerging strength in automotive and manufacturing for global and domestic markets

100.0%

Established 1834 Market cap: $10 billion+ 2015 net profit: $1 billion+  

Source: |

Ayala is now actively building a new industrial technology group around its existing manufacturing and automotive assetsアヤラは現在、既存の製造や自動車産業に加え積極的に新しい事業分野の拡大を進めています。

NEW SUBSIDIARY 新たな子会社

• Corporate Strategy, Corporate Finance & Asset Management

Vehicle RetailEnabling TechnologiesGlobal Manufacturing Vehicle Sourcing

ACPIImport/assembly

(100%)

HCPIImport/assembly

(13%)

IPCImport/assembly

(15%)

ACEIImport(100%)

KAMMIAssembly

(66%)

Active deal

Active dealIMIAuto EMS

(51%)

VIADisplays

(76%)

Active deal

Active dealActive deal HCMIDealerships

(100%)

IADIDealerships

(100%)

IDIDealerships

(100%)

AABSIShared services

(100%)

Active deal

Current legal entities

Active deals

AC Industrial Technology Holdings Inc.

Thank youご清聴ありがとうございました