SBMA Launches Bidding for Subic Airport Upgrade

Photo courtesy of Manila Bulletin

The Subic Bay Metropolitan Authority (SBMA) has announced a Swiss challenge for the ₱6.2-billion Subic Bay International Airport project, inviting competitors for the initiative that aims to enhance the former US naval base in Zambales, Philippines. The project intends to transform the airport into a modern cargo hub, complementing the nearby seaport facilities. Challengers have been asked to submit proposals by August 17, after the original proposal by Cerberus Asia Pacific Investments LLC, a US firm that acquired a defunct shipyard in Subic in 2022, was deemed eligible for challenge.

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Cerberus' proposal, submitted in March 2025, includes a 25-year operate-rehabilitate-add-transfer scheme. The firm, which invested $40 million to restart operations in Subic, plans to develop the airport into a cargo and logistics center. This move aligns with the broader goals of enhancing logistics and infrastructure in the Luzon Economic Corridor, a strategic government initiative linking key areas like Manila and Clark.

Using a right-to-match mechanism, the Swiss challenge allows Cerberus to match superior competitive proposals. The project is part of the Philippines’ Public-Private Partnership (PPP) practice where unsolicited proposals can be countered by third parties. Participants must meet legal, technical, and financial criteria before advancing to the proposal evaluation stages. The entire process spans 90 days from the issuance of challenge documents, emphasizing transparency and competitive bidding.

The project's impact expands beyond Subic, supporting the development of an AI-native investment acceleration hub in New Clark City. The Bases Conversion and Development Authority (BCDA) highlighted the strategic location's potential to boost manufacturing investments. This expansion is poised to enrich logistics connectivity across the Luzon region, enhancing economic prospects both locally and internationally.

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  Adapted by ASEAN Now · Manila Bulletin · 28 Apr 2026