By Beatriz Marie D. Cruz, Reporter
LOCKHEED MARTIN CORP., an American manufacturer of defense and aerospace equipment, said it expects to generate P50 billion in economic value from its investments in the Philippines, which include the establishment of repair facilities and knowledge transfer to support the country’s defense industry and workforce development.
“In support of the Self Reliance Defense Posture initiative, we have developed a package that covers a wide range of economic and defense initiatives… One that we believe creates at least 2,000 jobs for the Philippine economy along with nearly P50 billion of value in terms of economic impact,” Jess Koloini, director of business development at Lockheed Martin’s Integrated Fighter Group, told BusinessWorld last week.
This covers Lockheed Martin’s direct investments such as a repair and maintenance facility for the F-16 fighter jet and the C-130 cargo plane, and the establishment of an Innovation Center that would support the Philippines’ military capacity and create more jobs for the local workforce.
Ms. Koloini added that the projected P50-billion value generated for the Philippines covers Lockheed Martin’s partnership with Southern Methodist University (SMU) in Texas, which will provide technology and knowledge transfer to Philippine universities, focusing on digital innovation, intellectual property creation, and workforce development.
“They (SMU) also have a very robust research and development presence in Dallas,” Ms. Koloini said. “They’ve got top-tier academics and professors that we would expect to engage in the Philippines and likewise bring students to America to further broaden technical research and development across the academic and defense sectors.”
Through the partnership, Philippine universities would gain access to SMU’s state-of-the-art innovation tools and equipment. Other benefits include funding for business incubation, government initiatives, and academic programs, as well as the establishment of a world-class research laboratory and training space.
Local stakeholders will also receive training and development under SMU’s Center for Digital and Human-Augmented Manufacturing (CDHAM) and Deason Innovation Gym (DIG). This would help the country strengthen its defense-related capabilities in digital modeling, simulations, virtual and augmented reality, robotics, automation, and artificial intelligence, Ms. Koloini said.
The company has been working with educational institutions such as De La Salle University, Ateneo de Manila University, University of the Philippines, Philippine State College of Aeronautics, and World City Colleges, among others.
Ms. Koloini said the entire partnership aligns with Republic Act 12024 or the Self-Reliant Defense Posture Revitalization Act, the Philippine law that seeks to enhance the country’s defense capabilities through local resources and innovation.
“These industrial development programs are meant to run alongside and bolster a [decades] long relationship that we expect to have through the F-16 program,” Ms. Koloini said.
The Philippines is under pressure to ramp up its defense modernization initiatives and strengthen ties with other countries amid escalating tensions with China.
Last month, the company announced the delivery of five new Black Hawk helicopters to the Philippine Air Force.
It is also waiting for the US government’s formal offer on the sale of Lockheed Martin’s 20 F-16 fighter jets to the Philippines, which has a total value of $5.58 billion.
