Subic Bay, Zambales– In its first three years Agila Subic Compass (“Agila Subic”) has transformed the 310-hectare former Hanjin shipyard in Subic Bay, into a dynamic multi- use facility set to become a regional leader in shipbuilding logistics and storage services. The transformation appears to have helped revitalize various industrial sectors and the local economy – driving innovation, economic growth and workforce development.
The Agila Subic facility currently houses four major tenants, including the Philippine Navy; Subcom; HD Hyundai Heavy Industries Philippines; and V2X.
The Philippine Navy established one of its main naval operating bases at the facility for billeting, training and repair maintenance services.
HD Hyundai Heavy Industries, which is one of the largest shipbuilders in the world, will use the facility for shipbuilding, ship repair, and offshore wind platform construction.
Subcom is a global leading manufacturer and installer of subsea fiber optic cables and communication systems and has established the facility as its main storage and cabling depot in Asia.
V2X is an NYSE-listed logistics company which will use the facility for warehousing and storage operations.
After its former operator Hanjin Heavy Industries ceased operations following the company’s bankruptcy in 2019, the site was left idle for years. In 2022, Cerberus Capital Management, a U.S.-based global leader in alternative investing, acquired the previously distressed property, paving the way for its transformation into what is now a multi-use facility. The site is now bustling with activity, with most of its area leased out to tenants and projected to employ a workforce of 4,000 by the end of the year. Agila Subic and its tenants aim to generate approximately 10,000 jobs by 2027.
Agila Subic’s revitalization or “muling pagkabuhay” has driven substantial economic benefits, with total investments expected to near $1 billion.
The facility is rapidly becoming a strategic hub for shipbuilding, subsea infrastructure, and logistics operations in the Asia-Pacific region. The investment and the operationalization of Agila Subic’s facility has contributed to the revitalization of the local economy, with a noticeable impact on the opening of new restaurants, shops, and small businesses.
Beyond economic contributions, Agila Subic is generating thousands of skilled jobs through its tenants, boosting local industries through renewed demand for local talents, empowering Filipino engineers, skilled workers, contractors and service providers.
At the helm of Agila Subic’s transformation is a team comprising mainly Filipinos headed by general manager Mark Millan, a native of Zambales and former Philippine Navy officer. Agila Subic stands as a testament to Filipino capability in international collaboration, bringing world-class tenants and high-value opportunities back to Subic Bay.
“When we started operations in 2022, we made it our commitment to transform the facility into an economically viable site that would bring in world class locators and create thousands of jobs – both direct and indirect – to Subic Bay and nearby communities, thereby contributing to the Philippines’ economic growth. We are pleased to see that we are on track in achieving that vision after only three years of operations through partnerships with our locators and with support from the Philippine government,” Millan concluded.