Mining sector lags output targets, looks to foreign partnerships for growth

The country’s mining industry remains focused on raw‑ore exports with limited local processing, even as government and industry experts push to boost production and value addition through cooperation with the United States, Sweden and other international partners.

Speaking at the Mining Philippines 2026 International Conference and Exhibit, U.S. Embassy senior commercial officer Gregg Harris said the U.S. is seeking deeper critical‑mineral ties with the Philippines to build secure global supply chains. He noted the country has rich mineral deposits, yet much remains untapped. Under existing bilateral agreements, U.S. agencies and private firms can provide financing, modern mining equipment, automation tools and technical support — including help to upgrade current operations and build new processing facilities. Harris added that the goal is to move the Philippines beyond being just a raw‑material supplier toward becoming a regional hub for mineral processing and related technology.

Philippine Institute for Development Studies president Dr. Philip Arnold Tuaño pointed out that while the Philippines is a top global nickel ore exporter, it earns relatively little from these shipments. Most ore is sent overseas for processing, mainly to China and Indonesia, and the sector’s contribution to gross domestic product and local jobs stays low compared to its resource potential. Tuaño compared the local performance to Indonesia’s larger earnings from nickel‑related exports, noting that while Indonesia’s model offers lessons, it also carries environmental and social risks the Philippines should avoid. He stressed that successful downstream production needs reliable power, stable policies, committed buyers and broad community acceptance, rather than quick fixes.

Sweden also signaled interest in partnering with local stakeholders, with Ambassador Anna Ferry offering the country’s long‑standing mining expertise, low‑carbon technology and equipment to help modernize Philippine operations. Both foreign partners aim to help address current gaps as the sector works toward greater output and higher domestic economic gains in the coming years.

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