Total two-way goods and services trade between Australia and the Philippines reached $4.75 billion in 2018. Goods exports to the Philippines totalled $2.2 billion in 2018, consisting mostly of wheat, beef and coal. Australian merchandise imports from the Philippines amounted to $717 million and consisted mainly of electrical machinery, gold and agriculture products.
Over 280 Australian companies are fully established in the Philippines. Australia and the Philippines are both members of APEC, and Australia is an active participant in the East Asia Summit (EAS). The ASEAN-Australia-New Zealand Free Trade Agreement (AANZ) allows for 95% of Australian products to enter the Philippines duty free while 97% of products made in the Philippines can enter Australia with the same advantage.
Services exports to the Philippines amounted to $833 million. Australia continues to be a key destination for the growing number of Filipino students looking to study abroad, receiving more than 12,000 student enrolments in 2018.
Rising incomes supports demand for Australian tourism. More than 140,000 Filipino tourists visited Australia in 2018, continuing a rising trend over several years. Australian tourism to the Philippines accounts for the bulk of services imports.
Australia’s investment in the Philippines remained near $10 billion in 2018, accounting for 0.4% of Australia’s total portfolio of foreign direct investment. Australian companies have interests in a number of industries in the Philippines, including business processing, finance, professional services, education, resources and infrastructure.