Special Assistant to the President for Investment and Economic Affairs (SAPIEA) Secretary Frederick Go remains optimistic that the Philippines and the United States will arrive at a trade agreement that benefits both countries, despite Washington’s new tariff policy.
Go is set to visit the US for a tariff dialogue, though the date has yet to be confirmed.
“We are confident that, through our strong economic and diplomatic ties, we can find arrangements that are mutually advantageous,” Go said during a stakeholders’ consultation held Tuesday.
The Department of Trade and Industry (DTI) shared that Go and Trade Secretary Ma. Cristina Roque recently met with exporters, producers, manufacturers, industry groups, and government officials to assess the potential impacts of the proposed 17-percent US tariff on Philippine goods. They also discussed how to address stakeholder concerns.
The US reciprocal tariff policy, announced by President Donald Trump on April 9, imposes a universal rate of 10 percent but has been postponed for 90 days.
“The consultative process has enhanced mutual understanding and alignment on shared goals,” Roque said, reaffirming DTI’s commitment to prioritize stakeholder interests in ongoing trade negotiations.
A discussion paper released by the Philippine Institute of Development Studies (PIDS), written by former DTI Undersecretary Rafaelita Aldaba, warned that the Philippines may fall behind in global trade shifts if it doesn’t act quickly.
“Without swift and proactive policy implementation, the Philippines risks being merely a passive beneficiary rather than a strategic player in ongoing global trade realignments,” Aldaba said.
The PIDS paper recommends strategies such as shifting from low-value assembly to high-tech sectors like AI hardware, medical devices, and semiconductors; offering targeted subsidies and performance-based incentives; digitizing customs and logistics; and upgrading economic zones with green energy and smart technology.
