President & CEO Siemens ASEAN Dr. Thai Lai Pham and DTI Secretary Fred Pascual

Singapore—On June 7, 2024, the Department of Trade and Industry (DTI) and Siemens Inc. signed a new memorandum of understanding (MOU), renewing their strategic partnership to advance Industry 4.0 transformation in the Philippines. The signing took place at the Siemens Advance Manufacturing Transformation Center.

Under the new MOU, DTI and Siemens will scale up their efforts, with DTI set to unveil the country’s first state-of-the-art Industry 4.0 Pilot Factory this year. The factory will serve as an experience and learning laboratory, equipped with cutting-edge technologies such as digital twins, industrial software, and automation systems—powered by various technology partners.

In his remarks, Secretary Pascual emphasized, “Under this renewed partnership, DTI and Siemens will execute bigger and more transformative initiatives, driving our ambitions further and ensuring that we remain at the forefront of industrial innovation.”

“In 2019, we signed an MOU with DTI to strengthen collaboration and facilitate technical, policy, and information exchanges to drive the digital transformation of the manufacturing sector. I am proud that this has led to our Digital Industries business conducting a feasibility study to conceptualize DTI’s Industry 4.0 Pilot Factory in 2022. Today, we are signing a second MOU to collaborate on establishing this Industry 4.0 Pilot Factory,” said Dr. Thai Lai Pham, President and CEO of Siemens ASEAN.

DTI Secretary Fred Pascual delivering his remarks during the MOU signing between the DTI and Siemens

The renewal of this MOU underscores the commitment of both parties to fostering digital industrial transformation in the country. Since the initial agreement in 2019, the DTI and Siemens have achieved significant milestones, including the successful implementation of the Smart Industry Readiness Index (SIRI), conducting Industry 4.0 capacity-building sessions for manufacturers, and developing a comprehensive feasibility study for establishing an Industry 4.0 Pilot Factory in the Philippines.

With this collaboration, DTI and Siemens will now explore the use of artificial intelligence (AI) in various sectors, including food and beverage, electronics, semiconductors, chemicals, automotive, smart cities, autonomous buildings, and e-mobility. This sets the stage for establishing the country’s Center for Artificial Intelligence Research (CAIR) this year, focusing on developing AI technologies.  

Currently, the DTI and Siemens partnership emphasizes sustainability, with initiatives aimed at implementing sustainable production practices and technologies in collaboration with local governments and communities.

Highlighting the significance of collaborative partnerships in propelling the country’s digital transformation, Secretary Pascual stated, “The renewed MOU between DTI and Siemens represents a significant step forward in the Philippines’ journey towards technological and industrial advancement. With Siemens’ expertise, resources, and global reach, this partnership will drive meaningful change and propel the Philippines on the path to sustainable development.”  ♦

Date of release: 08 June 2024