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Philippines Remains Optimistic About Pursuing Subic-Batangas Cargo Railway

The Subic-Batangas Cargo Railway is gaining traction. Growing support from nations boosts optimism for the Luzon Economic Corridor.
By PAGEONE Business Today

Philippines Remains Optimistic About Pursuing Subic-Batangas Cargo Railway

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Special Assistant to the President for Investment and Economic Affairs Secretary Frederick Go is optimistic that the Subic-Clark-Manila-Batangas (SCMB) cargo railway project would proceed, with more countries expressing their support to join the Luzon Economic Corridor (LEC).

Go expressed hope that the United States government would continue supporting the LEC as part of the trilateral partnership among the US, Japan, and the Philippines, despite the Trump administration pulling out some financial aid in different countries.

“We need to inquire from the Trump administration what their plans are for that (LEC). Although we’re still very positive, we’re still very hopeful. You know we have been a very good ally of the United States. I believe that they will reciprocate that with tangible economic benefits for our country,” he told reporters.

The SCMB cargo railway, a flagship project of the LEC, has secured USD2.5 million from the US Trade and Development Agency (USTDA) for the feasibility study of the railway project in partnership with the Swedish government.

Go said the LEC steering committee has yet to hold another meeting to discuss the projects and the direction of the LEC under the Trump administration.

He, however, noted that support from the involved governments is crucial for the SCMB cargo railway as this kind of project needs sovereign funds.

“You really need the government to roll it out,” Go said. “Then once you put up the infrastructure, then the private sector can come in and operate it, maintain it.”

Despite the right-of-way challenges faced by the project, the Bases Conversion and Development Authority (BCDA) has begun securing property for the cargo railway project.

In December 2024, the BCDA reported that 43 landowners in the towns of Porac and Floridablanca in Pampanga have agreed to share their properties to build the LEC flagship project. A total of 68 Transfer Certificates of Titles were distributed to the landowners.

Moreover, Go said South Korean Ambassador to the Philippines Lee Sang-hwa expressed his country’s interest in joining the LEC.

Earlier, the United Kingdom, Sweden, and Australia have signified their intent to support the LEC. (PNA)