German companies said they consider economic policy uncertainty and a shortage of labor skills as the main risks to their Philippine operations.
The German-Philippine Chamber of Commerce and Industry (GPCCI), citing the results of its global survey, the Fall 2025 AHK World Business Outlook Survey, said that 47% of German companies People in the country are optimistic about their business situation, with 49% expecting their business to remain stable over the next 12 months.
“German businesses are continuing to express complaintsFRecognize the Philippines as a leading destination for investment and development,” said GPCCI President Marie Antoinette Mariano.
“To translate this confidence into sustainable economic benefits, the government must accelerate reforms that strengthen transparency, ensure policy coherence and enhance administrative efficiency to improve the ease of doing business,” he said.
German businesses also noted that US trade policies have had little or no impact on their operations in the Philippines, although they noted pressure from increased competition, rising shipping and customs costs, and business diversion from protectionist markets.
Philippine-based German firms also raised concerns about tax administration, red tape, climate threats, inflation, insurance barriers and delays in public projects.
GPSCI Policy and Advocacy Chair Marion Major said the business environment is nuanced, with growth influenced by structural and policy-related challenges.
“This sentiment underscores the importance of fostering a more predictable policy environment, enhancing regulatory excellence, and ensuring consistent, efficient implementation,” he said.
He cited the need to prioritize education and workforce development to maintain the investor conferenceFIdentity and inclusive development. , Beatriz Marie D. Cruz
