Pinoy exporters target Indonesia, Vietnam as emerging markets

Filipino exporters are increasingly turning to Southeast Asia, with Indonesia and Vietnam emerging as promising markets for Philippine products, according to Dominic Milan, co-founder and chief sales executive of cross-border logistics platform ZendEase by 1Export.

Milan said ZendEase has established entities in Indonesia and Vietnam as part of its efforts to help Philippine businesses expand into regional markets.

“We’re actually expanding to Asia, specifically Southeast Asia,” Milan said. “So we’ve opened an entity in Indonesia and Vietnam. So it’s easier to bring in Filipino products there.”

He said Southeast Asia presents an opportunity for Philippine businesses to reach mainstream consumers rather than primarily relying on Filipino communities overseas.

“There are not much Filipinos in Indonesia and Vietnam,” Milan said. “So when you try to export in these countries, you really are targeting the Indonesians in Indonesia, the Vietnamese in Vietnam.”

This presents a different challenge for Filipino exporters that have traditionally targeted overseas Filipino consumers in markets such as the United States, Australia and the Middle East.

The potential market is substantial. Indonesia had a population of about 286 million in 2025, while Vietnam had more than 100 million, according to World Bank data.

The regional trade environment also offers opportunities for exporters. ASEAN data show that tariffs on about 98.86 percent of products have been eliminated across the bloc under the ASEAN Trade in Goods Agreement, although exporters must still comply with rules of origin, customs procedures and product-specific regulations.

For the Philippines, however, deeper regional integration also means increased competition from neighboring economies.

Milan described regional trade as a “double-edged sword,” noting that the same arrangements that facilitate Philippine exports to neighboring countries also allow foreign products to enter the Philippine market.

“Indonesian and Vietnamese or any Southeast Asia products can successfully enter, easily enter the Philippines as well,” he said. “So we really need to bring our products there as well so that we become competitive.”

The push for wider export markets comes as the Philippine government seeks to strengthen trade and competitiveness amid slower economic growth in 2026.

The Philippine economy grew 2.3 percent in the second quarter, while Indonesia and Vietnam recorded faster growth during the same period, based on data reported by the Philippine Statistics Authority and cited by government officials.

Milan said entering a foreign market involves more than finding a logistics provider.

ZendEase assists businesses not only with shipping but also with export compliance, including permits, documentation, product requirements and packaging.

Milan said businesses should consult export specialists as early as the product-development stage because some products may need to be reformulated, repackaged or otherwise modified to meet the requirements of their target markets.

For many smaller enterprises, however, the biggest hurdle is financial.

“Actually, the main problem, if you’re going to ask me, unfortunately, is financial related,” Milan said.

Businesses may need to spend on permits and certifications and make changes to their production processes before they can export successfully.

As a result, a product that performs well in the Philippine market is not necessarily ready for international competition.

Milan said exporters should study their target consumers, competitors, pricing, packaging and product differentiation before entering a new market.

“When they do exports, it’s like opening a totally different business from what they’re used to or what they already have,” he said.

Milan said Philippine businesses should focus on sectors where they can differentiate themselves rather than competing primarily on manufacturing scale.

He cited agriculture and handicrafts as areas where Filipino enterprises could find opportunities in international markets.

“Even though we’re not a manufacturing giant,” Milan said, “in terms of agriculture, or if they would create a product that would need agriculture… that’s something that we are better at.”

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