ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print
Politics

Manila set to block Chinese bidders from largest shipyard

National security concerns over Subic Bay outweigh warmer bilateral ties

A newly-built ship is seen at Hanjin Heavy Industries' shipyard in the Subic Bay Freeport Zone in January 2018. (Photo courtesy of HHIC-Phil)

MANILA -- The Philippine government is set to exclude Chinese bidders from acquiring the country's largest shipyard, situated at the entrance to the highly sensitive South China Sea, amid concerns over Beijing's growing military presence in the region and its potential threat to national security.

The shipyard collapsed in January after South Korea’s Hanjin Heavy Industries and Construction and its Philippine unit defaulted on $1.3 billion in loans. A number of foreign bidders have declared their interest in acquiring the facility, including at least two from China.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more