MANILA – The Philippines and the United States signed a beneficiary deal that would boost US technical assistance in the construction of the Subic-Clark-Manila-Batangas (SCMB) Cargo Railway.
Transportation Secretary Vince Dizon and US Trade and Development Agency (USTDA) Acting Director Thomas Hardy signed the agreement during a bilateral meeting in Arlington, Virginia on June 26.
The proposed 155-km. SCMB freight rail, a flagship project of the Luzon Economic Corridor (LEC), aims to link key industrial and trade zones in Subic Bay, Clark, Manila, and Batangas province.
Philippine Ambassador Jose Manuel Romualdez said the project is set to be a “game-changer” in the LEC, “demonstrating the firm commitment of the Philippines and the US to elevate economic cooperation and deepen the alliance.”
The USTDA technical assistance involves transport model development, port-rail integration study, and legal and institutional framework analysis, among other areas.
“By supporting the development of the SCMB Railway, we are ensuring that key infrastructure will flourish, increasing economic cooperation to develop an essential trading route that will mutually benefit American and Philippine citizens,” Hardy said.
“Our partnership with the Philippines exemplifies the strength of American leadership in the Indo-Pacific and underscores our commitment to advancing our shared interests,” he added.
Special Assistant to the President for Investment and Economic Affairs Secretary Frederick Go thanked the US government for this crucial support.
“Once operational, the SCMB Railway will attract investments, create new opportunities for businesses, and most importantly, generate quality jobs that will benefit millions of Filipinos,” he said.
Dizon said the freight cargo railway aims to decentralize Manila Port and provide the additional transport capacity needed at the Batangas Port and Subic Bay, in line with President Ferdinand R. Marcos Jr.’s directive to ensure the uninterrupted movement of goods.
“As a freight cargo railway, the SCMB Railway, is seen to solve port traffic and congestion in Manila Port, while ensuring the timely movement of products to and from adjacent major transport hubs,” he said.
The Philippines, the US, and Japan launched the LEC in April 2024 to back development in Luzon, with the SCMB cargo railway as its flagship project.
Under LEC, the three countries commit to accelerating coordinated investments in high-impact infrastructure projects, including port modernization, clean energy, semiconductor supply chains and deployments, agribusiness, and civilian port upgrades at Subic Bay. (PNA)
📸 CARGO RAILWAY PACT. US Trade and Development Agency Acting Director Thomas Hardy and Transportation Secretary Vince Dizon lead the signing ceremony of the Subic-Clark-Manila-Batangas Railway Agreement in Arlington, Virginia on June 26, 2025. The proposed 155-km. SCMB freight rail, a flagship project of the Luzon Economic Corridor, aims to link key industrial and trade zones in Subic Bay, Clark, Manila, and Batangas province. (Photo courtesy of the Philippine Embassy in Washington DC)


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