MANILA, Philippines — The US Trade and Development Agency (USTDA) is supporting the expansion of a key ship repair facility at Subic Bay as part of efforts to strengthen the Philippines’ role as a regional maritime and supply chain hub.
USTDA will fund a feasibility study for the planned expansion of Subic Drydock Corp. (SDC), which is expected to increase the facility’s capacity to accommodate larger vessels and provide expanded ship repair and maintenance services.
The agreement was signed on September 10, 2026, during the inaugural Luzon Economic Corridor Investment Forum at the Grand Hyatt Manila in Bonifacio Global City, Taguig City. The two-day forum was held on September 10–11 and brought together investors, industry leaders and government officials to promote investments in major infrastructure projects along the corridor.
USTDA Deputy Director Thomas R. Hardy said the project reflects the agency’s commitment to supporting high-impact infrastructure development along the Luzon Economic Corridor through American technologies and expertise.
“Today’s agreement reflects USTDA’s commitment to developing high-impact infrastructure along the Luzon Economic Corridor using American technologies,” Hardy said.
“Our ongoing partnerships in the Philippines will support the country’s economic growth as part of a more resilient, secure and prosperous Indo-Pacific,” he added.
SDC has tapped California-based DM Consulting Inc. to undertake the feasibility study, which will include a construction-ready design package and financial analyses for the expansion of the facility’s approach pier.
The project calls for extending the approach pier by 169 meters, allowing SDC to accommodate larger vessels and carry out repair work that is currently limited by draft and berth constraints.
SDC owner Terry Watkins said the study would help determine the requirements for the planned pier extension and support efforts to secure financing for the project.
“We are deeply grateful to USTDA for its support and partnership,” Watkins said.
He said the expansion would enable SDC to accommodate larger vessels and undertake repairs that are currently not possible due to existing draft and berth limitations.
The project is also expected to create opportunities for US companies to provide engineering services, port infrastructure and equipment as part of the planned expansion.
Watkins said the project would strengthen SDC’s ability to serve select US and Philippine maritime customers while further enhancing Subic Bay’s position as a regional ship repair hub.
Subic Bay’s deep-water harbor and strategic location along major maritime routes have long made it an important center for trade, logistics and maritime activities. (Press Release)