US imposes 19% tariff, PH becomes more competitive

The United States has imposed a 19-percent reciprocal tariff on Philippine goods, which is expected to strengthen the country's position as an investment and manufacturing hub in Southeast Asia.

Special Assistant to the President Frederick Go and Trade Secretary Cristina Roque stated that this development marks a strong start for maintaining the Philippines' comparative advantage with its largest export market.

The new tariff rate makes the Philippines one of the most competitive economies in trade with the United States, second only to Singapore's 10 percent tariff, while neighboring countries face import duties ranging from 19 percent to 40 percent.

This revised tariff places the Philippines ahead of other Southeast Asian nations, making it more attractive for export-oriented investments and potentially drawing foreign companies relocating their operations.

Go emphasized that enhanced market access will draw investment opportunities that might have gone to other Southeast Asian nations, while Roque assured that major domestic agricultural and manufacturing industries are protected from full concessions.

Concessions will focus on products not locally produced but critical for reducing healthcare costs, such as pharmaceuticals and automobiles, ensuring lower prices for these goods in the Philippines.