PH, US reach tentative 19% tariff deal for cars

Philippine business groups are cautiously optimistic as the US announced a 19% tariff rate on Philippine goods, a reduction from a potential 20%, in exchange for the Philippines opening its market to US automobile imports with zero duties.

President Ferdinand Marcos Jr. clarified that the Philippines has not agreed to a broad zero-tariff policy, only specifically for imported American vehicles, excluding agricultural products to protect local farmers.

Philippine Ambassador to Washington Jose Manuel Romualdez stated that the 19% tariff is still subject to negotiations and that bilateral talks will occur in Manila to finalize the trade deal.

Trade and Industry Secretary Ma. Cristina Roque confirmed that negotiations on the specifics of the 19% tariff on Philippine exports would continue, with details not yet final.

Roque expressed optimism that the tariff on Philippine exports to the US could be further reduced, although the current rate stands at 19%.

The PCCI is urging the government to address non-tariff barriers and pursue tariff relief measures.

The US was asking for zero tariff for all American goods entering the Philippines.