Industry Background

Sectoral Coverage

The Philippine downstream plastics industry refers to the plastic fabricators and manufacturers which convert plastic resins to industrial and consumer finished products. It serves as an allied industry with strong linkages to:

  • Automotive and Transportation
  • Home Appliances
  • Food, Drug, and Cosmetics
  • Soap and Detergent
  • Fiber and Textiles
  • Electrical and Electronics
  • Buildings and Construction
  • Healthcare

The PPIA has also categorized its subsectors as such based on their finished products:

  • Flexible plastics
  • Net, twine and sack
  • Pipes and fittings
  • Plastic bags
  • PVC products
  • Recycled plastics
  • Rigid plastics
  • Styro products
  • Tapes and Others

While there are a few large companies, the industry is mainly comprised of small to medium scale enterprises with varying and wide degrees of equipment sophistication. Majority of the companies are situated in the CAMANAVA (Caloocan, Malabon, Navotas, Valenzuela) area, while others are from Manila, Pasig and the CALABARZON (Cavite, Laguna, Batangas, Rizal and Quezon).

Main production processes include film and sheet extrusion; injection moulding; compression moulding; extrusion blow moulding: injection blow moulding; injection stretch blow moulding; pipe and profile extrusion; net and twine extrusion; woven sack extrusion and weaving; sheet thermoforming, printing, lamination, slitting and bag forming; and recycling. A survey conducted by PPIA in May 2012 reveals that most companies adapt top of the line, state of the art technologies from Europe for their operations, especially large scale industries with high quality and volume demands. On the other hand, companies using old, outdated and cheap equipment still remain, for small scale industries where volume requirements are low. The strength of these smaller companies is that they keep their overhead low and are capable of modifying and retrofitting their machines to improve their efficiency. For this, the industry is given an internal overall medium rating for their operations.