News Release

Cerberus-Hyundai partnership to restore glory days of shipbuilding in PH — PBBM

The investment plans of Cerberus and HD Hyundai Heavy Industries in the Philippines are seen to restore the heydays of shipbuilding in Subic and spur growth in the country, President Ferdinand Marcos Jr. said on Tuesday.

According to him, they are also testaments to the strong and enduring relationship among the Philippines, South Korea, and the United States.

“We welcome HD Hyundai’s investment that will not only open new doors for our offshore wind industry, but will also bring maritime manufacturing back to Subic, and eventually restore the glory days of shipbuilding to our shores,” President Marcos said during the announcement of Cerberus and HD Hyundai partnership in Malacañang.

“Not only would it generate thousands of jobs, but also enable the transfer of critical skills, and improve the Philippines’ position in the global market. The Philippines is also quite excited to see the realization of Cerberus’ plans, including its interest in microelectronics, semiconductors, and critical metals,” he said.

Since its acquisition of the Agila Subic Shipyard last April 2022, he said Cerberus has been hard at work to revitalize the shipyard.

As a testament to its robust operations, Cerberus has attracted other tenants including SubCom, which is the world’s leading subsea cable company, and V2X, a global logistics company, he pointed out. He noted Cerberus’ close collaboration with the Philippine Navy to help establish a world-class operating base.

Cerberus’ impeccable track record, he said, will be a powerful force to spur growth and development across many sectors.

“The investments that will be created hereafter are especially beneficial to Subic because these will strengthen the freeport area’s vital role as a hotspot for industrial, commercial, and other economic activities,” said President Marcos.

“The Subic Freeport zone is one of the most developed and sought-after investment areas in this country, but it can be greater than what it is with the right investment and with the right innovative projects and approach. With your help, we can further accelerate the progress of Subic, cementing its role as a driver of growth for the rest of the country,” he added.

With regard to HD Hyundai, he said the company is recognized as one of the largest producers of ships in the world. He said the government looks forward to the opportunity to usher in a new era for shipbuilding in the Philippines.

Also, HD Hyundai’s initial focus on the development of offshore wind platforms bodes well for the government’s goal of transitioning to renewable energy, as it puts in place policies to hasten the rollout of offshore wind projects in the country.

HD Hyundai, a South Korea-based shipbuilder and solution provider in heavy industry and energy sectors, will initially focus on the construction of offshore wind platforms.

It is projecting to invest approximately US$550 million over 10 years and generate around 10,000 jobs within three to five years.

Cerberus on the other hand, was established in 1992 in the United States, pioneering in alternative investing with approximately US$70 billion in assets across complementary credit, private equity, and real estate platforms. |PND