Ford To Leave Philippines Years End

[Old55]

It's too bad Ford is giving up. Aquino has made some good moves to do with corruption but too little too late in this case.

From Asia times

"Ford's Philippine plant failed to reach half of its annual projected output of 36,000 vehicles per year, and was only a fraction of the 300,000 units Ford's factories typically churn out in Thailand and China.

The company joins a growing list of multinational corporations that have folded up their manufacturing facilities in the Philippines to relocate to China or other Association of Southeast Asian Nations (ASEAN) countries. "

"One major reason why investors are avoiding and even moving out of the Philippines is the lack of stability in investment policies. [One government] approves policies that then become void by the Supreme Court in the next administration," Herrera said.

Other major reasons, Herrera said, relate to protectionist restrictions on foreign investments, which are capped by law at 40% foreign ownership, and endemic official corruption.

"While there is corruption to accommodate investments in other countries as well, the degree we have is among the worst in the world," he said. "A big part of the reason is the earlier restriction in investment ... which forces investors to partner with controlling families."

Full news at;

http://www.atimes.com/atimes/Southeast_Asia/NG19Ae01.html

[FlyAway]

The full article is a good read. Really makes one wonder about the economy as a whole there.

[Old55]

I'm no expert it seems that Aquino is trying to clean up corruption and that is helpful. The bureaucracy is too entrenched to change and those ruling family's are going to suck dry any major business in country. I think Philippines is screwed.

[Mike S]

Yup .... when you are a big enough frog to sit on the entire pond you get to make ALL the rules .... sadly this is not the first business to be forced to leave the Phils ..... but then what can you expect if your constitution is drawn up that way ...... what they need here is someone that just ignores or bypasses the constitution ...... it's been done other places ....... 'nought said .... :tiphat: :hystery: :hystery:

[Dave Hounddriver]

it's been done other places

Are you 'Syria'ss? (Serious . . its a pun . . but maybe it is better aloud)

[Mike S]

:hystery: :hystery: :hystery: :hystery: :hystery: :hystery:

[joeatmanila]

Now include the story with the representative of Ford who was thrown to jail just because he wouldn't sign for the purchase of fake ford spare parts (some years ago i guess, i do not remember where i had read it) and you know why ford sees political instability here...corruption etc etc

the argument they placed him in jail was that the contract was saying ford spare parts and not genuine ford spare parts...fake or not for as long as they were called ford the filipinos wanted to get paid for it!!!!!

[i am bob]

The sad part was that Ford was only making enough cars in the Philippines to supply about a dozen or more car lots!

[Tukaram (Tim)]

Without trying to sound like a total a**h*le (I am going to sound like one) I would rather the economy in the PI's doesn't get too good... then my US dollars wouldn't be worth as much and I would have to retire elsewhere.

Yeah... that makes me sound bad... but it is true. I need it to stay third world so I can afford it. Sorry Ford.

[cebu rocks]

Without trying to sound like a total a**h*le (I am going to sound like one) I would rather the economy in the PI's doesn't get too good... then my US dollars wouldn't be worth as much and I would have to retire elsewhere.

Yeah... that makes me sound bad... but it is true. I need it to stay third world so I can afford it. Sorry Ford.

No worrys there Tuka No Investors are lining up for the RP As for your US dollar you may have real trouble coming no mater where you want to retire http://rt.com/usa/news/fed-quantitative-easing-bernanke-858/