THE Philippines is diversifying trade toward Asia-Pacific and Europe as businesses seek to reduce their reliance on the United States, DHL Express Asia Pacific CEO Ken Lee said.
Speaking in a media briefing at the 2026 DHL GoTrade Summit in Manila on Tuesday, Lee said companies were expanding their markets and strengthening supply chains to withstand geopolitical disruptions.He was responding to a question on how conflicts, including the US-Iran war, were affecting trade volumes.While the US remains the Philippines’ largest export market, Lee said DHL was seeing fewer shipments there, with increased trade within Asia-Pacific filling the gap.“Businesses are planning for diversification and resilience because you never know when the next geopolitical tension will arise,” he said.DHL Express Philippines country manager Nigel Lockett said shipment volumes to the US and Canada remained strong, even as trade between the Philippines and other Asia-Pacific markets increased significantly in both directions.He attributed the growth to technology, data center logistics, new energy and life sciences, while noting opportunities in other industries.Lee expects Asian countries to strengthen partnerships with one another to reduce dependence on a single market. This reflects broader supply chain shifts, including the China Plus One strategy, in which companies retain operations in China while adding manufacturing or sourcing locations elsewhere to lessen risks.DHL identified the Philippines as one of the 22 fastest-emerging markets. Lee said the country stood to benefit from global supply chain diversification, which could accelerate its growth.Philippine exports to Europe were also posting double-digit growth, he said, although he declined to provide a specific figure.Lee added that a prospective free trade agreement between the Philippines and the European Union could further boost trade.
