Garment firm eyes PH expansion due to low US tariff

A Hong Kong-based garment manufacturer is planning to expand its production capacity in the Philippines due to the country's relatively low 17% tariff rate on imports into the United States.

Trade Secretary Ma. Cristina A. Roque disclosed that she will meet with the company before the end of April to discuss expansion plans, which are contingent upon the US maintaining these tariffs for at least another 90 days.

The Philippine government remains optimistic about attracting foreign investments despite ongoing uncertainties in US tariff policies, aiming to leverage its competitive position within ASEAN.

Robert M. Young from the Foreign Buyers Association of the Philippines emphasized the need for upgrading manufacturing capabilities and reducing operational costs to maintain competitiveness amid rising tariffs.

World Trade Organization projections suggest a decline in global trade growth due to increased tariffs and policy uncertainties, which could negatively impact Philippine exports compared to other ASEAN countries.