LOTTE Pepsi Cola Products Philippines Inc. is eyeing the Philippines as a potential ASEAN export hub for Korean beverages, signaling a strategic pivot that could expand its manufacturing footprint and deepen bilateral business ties.
At the Philippines Korea Business Forum in Pasay City on March 4, Eric Cho, chief marketing officer of Lotte Chilsung Beverage Co. Ltd.’s Philippine unit, said the company is studying how to transform its local operations from a domestic distributor into a regional production base.
The strategy hinges on localization, producing more beverages on Philippine soil for both local consumption and export across Southeast Asia. Cho said strengthening manufacturing capacity would streamline supply chains, cut logistics costs and open doors to new markets within ASEAN.
“This is about building capabilities on Philippine soil,” Cho said, underscoring that the group’s ambitions go beyond simply importing and distributing Korean brands.
The company is also weighing the establishment of research and development functions in the Philippines, a move that could tailor products to Southeast Asian tastes while embedding innovation closer to its growth markets.
PCOPI currently employs about 5,000 workers nationwide and manufactures a portfolio of Korean beverage brands such as Chilsung Cider, Milkis, King and Chum Churum. A successful export pivot could translate into additional jobs, capital investments and technology transfers, executives said.
South Korea’s beverage giant holds 73.6 percent stake in its Philippine subsidiary, reflecting strong confidence in the local market’s growth potential.
The export hub plan would position the Philippines as a key node in LOTTE’s regional supply chain and a bigger player in the fast moving ASEAN beverage trade.
