File photo: Submarine-hunting P3-C patrol planes

Japan and the Philippines are expected to sign agreement in that Tokyo will supply Manila with military equipment, which is likely to be used in the South China Sea issues, according to Reuters.

"The deal will mark the first time Japan has agreed to directly donate military equipment to another country," Reuters said.

Japan may start supplying three Beechcraft TC-90 King Air Planes, and then Lockheed Martin submarine-hunting P3-C patrol planes, said the report.

The Beechcraft TC-90 King Air Planes are currently being used to train Japanese Self Defense Force pilots.

In 2013, Japan announced to begin transferring 10 patrol boats to the Philippines in 2016. This upcoming agreement, expected to ink on APEC sidelines, will be on top of the previous move.