Philippines says won't stop projects with China firms blacklisted by US

The Philippines will not halt infrastructure projects involving Chinese firms blacklisted by the United States and will act in its own interests, not those of a foreign power, the president’s spokesman said on Tuesday.

President Rodrigo Duterte will not follow Washington’s move to sanction Chinese firms involved in construction on South China Sea islands, because infrastructure was a national priority. “We are not a vassal state of any foreign power and we will pursue our national interest,” Harry Roque said at a press briefing. Duterte has a race against time to make headway in his US$180 billion infrastructure overhaul, which is fraught with complications.

The United States has blacklisted 24 Chinese companies and targeted individuals over the building of facilities on South China Sea islands.

Among firms involved are China Communications Construction Co, which has teamed up with a Philippine partner for a US$10 billion airport project, and its subsidiary, China Harbour Engineering Co, which is partner ng on a US$1.2 billion reclamation project with the firm of tycoon Dennis Uy, Duterte’s top election campaign donor.

China Harbour will partner with the Philippines’ richest family on another US$1.86 billion reclamation venture.

China’s ambassador, Huang Xilian, welcomed Duterte’s decision. “Any attempt to undermine the normal economic cooperation between China and the Philippines will never succeed,” Huang said.