President Ferdinand Marcos Jr. has approved the 2026 Strategic Investment Priority Plan, which identifies the industries and economic activities eligible for government incentives as the administration seeks to attract more investments in critical sectors, including energy, manufacturing, agriculture, technology, and research and development.
The approval was contained in Memorandum Order No. 47, signed on May 21 and published on June 2, based on the recommendation of the Board of Investments.
The SIPP serves as the government’s investment blueprint, defining priority activities that may qualify for incentives and other support measures. It is aligned with AmBisyon Natin 2040, PAGTANAW 2050, the Trabaho Para sa Bayan Plan, and the Philippine Development Plan 2023-2028.
Under the plan, qualified activities are grouped into three tiers.
Tier I covers activities with strong potential to generate jobs, address gaps in the supply of basic goods and services, support industrial development, promote innovation, or build on the country’s emerging comparative advantages.
These include the commercial production of agricultural, fishery, and forestry products; support services and related facilities; reforestation and industrial tree or bamboo plantations on private lands, including activities tied to carbon credits; and the manufacture of pharmaceutical products that are adequately supplied in the Philippines and are not on the Department of Health shortage list.
Also included under Tier I are the manufacture, assembly, packaging, testing, and related services for semiconductors and electronics products; shipbuilding and related components; iron and steel products such as reinforcing bars, angle bars, and wire ropes; and the establishment and operation of natural gas storage, regasification facilities, and new pipeline facilities for petroleum products, natural gas, petrochemical, and similar products.
The tier also covers upstream infrastructure and support facilities for telecommunications, fixed and mobile broadband connectivity, and power generation projects using conventional fuels, waste heat, and other wastes, excluding petroleum unless otherwise determined by the BOI upon endorsement by the Department of Energy.
Tier II covers activities that address gaps in industrial value chains, including the production of supplies, parts, components, and intermediate services that are not locally produced but are critical to industrial development.
These include import-substituting activities, crude oil refining, defense-related service activities endorsed by the Department of National Defense, the manufacture of iron and steel products that are not locally produced, the manufacture of electric vehicles and their parts and components, and the establishment of charging or refueling stations for alternative energy vehicles, except LPG-run vehicles.
Tier III covers activities involving research and development, highly technical manufacturing, and projects considered critical to the structural transformation of the economy.
These include activities that produce significant value-added, higher productivity, improved efficiency, scientific and health breakthroughs, high-paying jobs, new knowledge, and intellectual property registered or licensed in the Philippines.
The plan also covers the commercialization of patents, industrial designs, copyrights, and utility models owned or co-owned by registered business enterprises.
Among the Tier III activities are cybersecurity, artificial intelligence, data center facilities, plasma research and development applications in medicine, environmental remediation, power production, and industrial coating materials.
The tier also includes nuclear science research for material science applications in defense, communication, energy, medical, and industrial sectors; materiel development; drug discovery and development; genetic resource utilization; and clinical trials for emerging or novel pharmaceutical products.
Also covered are hydrogen facilities for production, storage, transmission, distribution, and utilization for power and non-power applications; nuclear power generation projects; and cybersecurity activities involving real-time threat mitigation, protection of critical infrastructure, and support services for telecommunications, sewerage, waste management, water, and power systems in economic zones.
The 2026 SIPP comes as the government seeks to strengthen domestic industries, reduce import dependence, attract high-value investments, and support sectors deemed essential to long-term economic transformation.