MEDIA STATEMENT for Thursday, July 10, 2025
On the 20% Reciprocal Tariff from the United States
We are in receipt of the United States’ latest reciprocal tariff for the Philippines. We are concerned that, notwithstanding our efforts and constant engagements, the US still decided to impose a 20% tariff on Philippine exports.
The fact remains, however, that the 20% rate is the second lowest among reciprocal tariffs the US has imposed on countries in the region.
More importantly, as a reliable and strategic economic partner of the US in the region, the Philippines remains committed to continuing negotiations in good faith to pursue a better and more comprehensive bilateral trade agreement.
We recognize the concerns of the United States regarding trade imbalances and its desire to strengthen domestic manufacturing. However, global supply chains are deeply interconnected, and unilateral trade impositions will have adverse effects to the global economy. Thus, we believe in the need for constructive engagement to address trade issues.
The DTI, in consultation with other government agencies, will continue to actively engage with our US counterparts toward a balanced and mutually beneficial trade relationship. A Philippine delegation is scheduled to hold discussions in the US next week, ahead of the tariff’s implementation on August 1.
In light of this development, the Philippines remains steadfast in advancing key economic reforms to sustain a competitive and investor-friendly business environment, while broadening its trade partnerships to create more market opportunities. ♦
