With Honda Cars Philippines Inc. (HCPI) set to fully close their manufacturing facility in Santa Rosa, Laguna, the 28-year old factory will be vacated in the coming weeks. However, it looks like another company is interested in setting up shop at HCPI's factory soon.
According to Department of Trade and Industry (DTI) Secretary Ramon Lopez, a company recently showed interest in buying the HCPI facility. Lopez mentioned that the firm is not necessarily in the automotive industry, but has been operating in the country for years now.
“That’s our point. If a company left, then some will expand. They would like to locate here, (for the) expansion of their operation,” said Lopez. When asked who may be the company that is looking to buy the factory, Lopez declined to say as to who they are.
Once the HCPI factory officially closes its doors, 387 employees will be let go (with 280% separation package of a worker's monthly salary for every year of service) following its official closure this coming March 25. However, it's not only the workers that will be affected as several parts suppliers will also take a hit due to the abrupt closure of the facility. According to Ferdi Raquelsantos of the Philippine Parts Maker Association (PPMA), it will cost the local parts industry an estimated PhP 240 million in lost revenue.