[3] The native Zambales inhabitants called the area Hubek, which means "head of a plough"; Spanish missionary priests mispronounced the name as Subiq.

Construction of an arsenal and ship repair yard ensued March 8 the following year, as ordered by the new settlers' Naval Commission.

Commodore George Dewey and his men engaged in a battle that destroyed the Spanish Army in 1898, and the Americans took over Subic Bay on December 10, 1899.

In September 1762, the British invaded the Philippines and took over the Spanish main naval base in Manila Bay.

The expedition returned with the good news for the naval command - a natural bounty and deep waters at Subic Bay.

King Alfonso XII issued a decree[7] The Americans designated the Subic Bay area as a repair and supply naval base site in 1901.

The revenue earned by the special economic zone is shared by seven municipalities including Subic town, and the city of Olongapo.

The roads are meant to reduce traffic in the town proper and are used by trucks going north of Castillejos and vice versa.

[citation needed] The Govic Highway Extension runs from Castillejos down to Hanjin Shipyard and is exclusively used by its workers.