U.S. Supports New Freight Rail Link in the Philippines

The U.S. and the Philippines agreed to develop the Subic-Clark-Manila-Batangas Railway to connect key ports, ease traffic in Manila, and strengthen the Luzon Economic Corridor. This is reported by the railway transport news portal Railway Supply.

The project, announced on June 26 in Arlington, Virginia, will receive funding from the U.S. Trade and Development Agency (USTDA) to support critical technical studies.

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USTDA will help develop a transport model, assess port-rail integration, and analyze the legal frameworks to support the project. These tools will guide efficient implementation and long-term performance.

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Frederick D. Go, the Philippine president’s special assistant, stated that the railway will enhance port connectivity, spur investment, and generate quality jobs across the region.

He noted that this corridor will play a pivotal role in national economic growth, aligning with the government’s vision for inclusive development and industrial expansion.

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Thomas R. Hardy, acting USTDA Director, emphasized that the U.S. investment demonstrates its commitment to a free and open Indo-Pacific. He added that better infrastructure will serve both American and Filipino citizens.

Transportation Secretary Vince Dizon praised the U.S. assistance and highlighted that the freight line will relieve congestion in Manila and expand access to Subic and Batangas Ports.

Dizon stated the new railway will ensure the uninterrupted flow of goods, improve logistics, and reduce pressure on the capital’s outdated cargo routes.

The project directly supports President Ferdinand Marcos Jr.’s directive to decentralize cargo transport and boost regional trade infrastructure.

Once operational, the railway is expected to attract businesses, improve efficiency, and establish Luzon as a logistics hub in Southeast Asia.

This agreement marks a milestone in strengthening bilateral ties, while opening new trade channels and supporting sustainable economic growth for both nations.

Source: palawan-news.com

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