Manila is concerned about the United States’ decision to impose 20% tariffs on Philippine exports but will continue to negotiate, its economic affairs minister said.
Secretary Frederick Go told reporters yesterday that the Philippines remains committed to talking with the United States in pursuit of a bilateral deal.
“We remain committed to continuing negotiations with the US in good faith to pursue a bilateral, comprehensive, economic agreement, or if possible an FTA (free trade agreement,” Go said.
Philippine officials are scheduled to travel next week for talks with their US counterparts before the tariff rate takes effect on Aug 1.
Manila’s ambassador to the United States Jose Manuel Romualdez said yesterday that the Philippines will seek to lower that tariff rate, which remains among the lowest reciprocal duties in South-East Asia.
“We are still planning to negotiate that down,” Romualdez said in a phone message.
The United States remains a vital export destination, accounting for nearly 16% of the Philippines’ total exports in the first five months of the year.
Go said the Philippines will continue to pursue key economic reforms to ensure that the country remains competitive, and seek more trade deals with other countries to diversify and expand markets for the country’s products.
US goods trade with the Philippines reached an estimated value of US$23.5bil (RM100bil) in 2024, according to data from the Office of the US Trade Representative.
US exports to the Philippines stood at US$9.3bil, a 0.4% increase from 2023, while imports from the Philippines totalled US$14.2bil, up 6.9% year-over-year.
The resulting US trade deficit with the Philippines widened to US$4.9bil in 2024, a 21.8% increase from the previous year. — Reuters
