Manila: Special Assistant to the President for Investment and Economic Affairs (SAPIEA) Frederick Go is set to visit the United States to negotiate the 17-percent tariff levied by the Trump administration on certain Philippine goods entering the US market. This move comes as part of the Philippine government’s efforts to address the economic implications of the US’ reciprocal tariffs.
According to Philippines News Agency, Go confirmed that the Philippine government had received a ‘positive response’ from the US Trade Representative (USTR) regarding their request for a dialogue to discuss the newly imposed tariff. “We have reached out to the USTR and we have communicated with them our desire to engage in a meeting or dialogue with them and they have positively responded. So, I will be scheduling a trip to the United States to meet with the USTR soon,” Go stated to Palace reporters.
Go mentioned that President Ferdinand R. Marcos Jr. recently convened with the country’s economic managers to deliberate on the US’ reciprocal tariffs and its potential effects on exports, particularly those from Asian countries affected by the new tariff rates. The discussions included evaluating the risks and determining strategic responses.
Highlighting the core aim of the negotiations, Go noted, “The keywords are probably not appeal. This is a negotiation. And of course, in my opinion the best possible outcome is a free trade agreement. Free trade agreement means zero tariffs on their side, zero tariffs on our side. That’s probably the best possible outcome of that meeting. But again, it’s open communication, dialogue, cooperation and let’s see what we can negotiate.”
He acknowledged the potential impact of the tariff on the Philippines’ gross domestic product, estimating a ‘0.1 percent effect’ over the next two years as per the National Economic and Development Authority. However, Go emphasized that the Philippines still holds an ‘advantage’ due to the comparatively lower tariff imposed.
Go outlined two immediate actions: firstly, engaging with exporters to explore supportive measures from the government, and secondly, monitoring the responses of neighboring countries and the US to similar tariff issues. “I think there are two things that we have to do now. Clearly, one is to engage with our exports to discuss with them what are the possible measures that they can take and that the government can assist them in this current situation. That’s the first thing. That’s the most important thing,” he explained.
The US-Philippines trade relationship remains significant, with goods trade totaling an estimated USD23.5 billion in 2024, according to the latest US government data. Imports from the Philippines to the US reached USD14.2 billion in 2024, marking an increase of 6.9 percent or USD912 million from the previous year.
