PH Eyes Bigger Role In Global Clean Energy Industry After US Minerals Agreement
- February 12, 2026
Table of Contents
The Philippines takes a strategic step toward strengthening its role in the global supply chain for renewable energy technologies with the newly signed critical minerals agreement with the United States.
The memorandum of understanding (MOU), signed on February 4 during the 2026 Critical Minerals Ministerial in Washington, aims to deepen cooperation between Manila and Washington in developing the Philippines’ critical minerals that are essential to solar panels, wind turbines, and electric vehicle batteries.
Moving Up the Value Chain
Environment Secretary Raphael P.M. Lotilla and US Undersecretary of State for Economic Affairs Jacob Helberg formalized the agreement on the sidelines of the ministerial, which gathered representatives from more than 50 countries to discuss supply chain resilience for materials vital to clean energy and advanced technologies.
“Through this partnership, we are building a Filipino-led industry that processes our own resources, creates high-skilled jobs, and strengthens our position in the global high-tech supply chain,” Lotilla said.
The Philippines is the world’s second-largest producer of nickel, though it trails far behind Indonesia. At present, much of its output is exported as raw ore, with limited domestic processing capacity.
Trade Secretary Cristina Roque said the MOU could help shift the country’s position in the global market. “The MOU is a major enabler for the Philippines to shift from simply exporting raw mineral ores to becoming a significant player in value-added processing,” he said.
The Department of Trade and Industry (DTI) said the agreement establishes a framework to facilitate investments in mineral processing, refining and downstream manufacturing, which are areas seen as crucial for capturing more value from materials used in renewable energy components and other high-tech products.
Reducing Export Concentration
The deal also comes as the Philippines seeks to diversify its export markets. Philippine Ambassador to the United States Jose Manuel Romualdez noted that about 90 percent of the country’s nickel exports are currently shipped to China, largely due to limited domestic processing facilities.
“Minerals are very important. We want to develop them, and we have been talking about being part of the critical minerals supply chain—not only for the United States, but for other countries as well,” Romualdez said.
The DTI said the framework is expected to reduce overreliance on a single buyer by linking Philippine mineral output to a broader network of more than 50 countries participating in the ministerial discussions.
The US Department of State, in a February 4 release, described the global critical minerals market as highly concentrated. “Today, this market is highly concentrated, leaving it a tool of political coercion and supply chain disruption, putting our core interests at risk,” the agency said. “We will build new sources of supply, foster secure and reliable transport and logistics networks, and transform the global market into one that is secure, diversified, and resilient, end-to-end.”
In addition to the Philippines, the US signed similar bilateral frameworks with Argentina, the Cook Islands, Ecuador, Guinea, Morocco, Paraguay, Peru, the United Arab Emirates, the United Kingdom, and Uzbekistan.
Opportunity In Clean Energy Components
The Philippine Exporters Confederation Inc. (Philexport), the country’s largest exporters’ group, said the agreement could support the country’s pivot toward higher-value industrial activity tied to renewable energy and emerging technologies.
In a statement, Philexport said the MOU would help position the Philippines to transition from a raw-ore exporter to a supplier of processed materials such as nickel, cobalt, and graphite, which are all key raw materials for batteries, electronics, and other advanced components.
“This partnership is anticipated to attract investment, create jobs and bolster the country’s role in the global high-tech supply chain,” Philexport said.
By promoting local processing, the group said the country could improve access to the US market for Filipino-led mining firms and secure a stronger foothold in supply chains supporting clean energy technologies.
Trade Bloc Decision
The MOU was signed amid discussions of a proposed US-led preferential trading bloc for critical minerals, aimed at addressing supply chain vulnerabilities and reducing China’s dominance in the sector. During the ministerial, US Vice President JD Vance announced Washington’s intent to pursue the initiative.
Romualdez, however, said the Philippines has not yet decided whether it will join the proposed bloc. “None, not yet,” he said when asked if the government is willing to participate. “What we did in Washington was merely to facilitate and make sure that the Philippines was included among the 10 countries they signed up with.”
While a decision on bloc participation remains pending, officials and industry leaders have framed the bilateral agreement itself as a foundation for strengthening the country’s global standing, not only as a mineral supplier, but as a potential contributor to the production of renewable energy components and other high-value technologies.
Source:
https://www.rappler.com/philippines/united-states-sign-critical-minerals-framewor
https://business.inquirer.net/573269/exporters-back-ph-us-critical-minerals-accord
