Pasay city: The Philippine government is actively engaging with the Trump administration to secure an exemption for its semiconductor industry from a proposed 100 percent US tariff on imported chips, as announced by Philippine Ambassador to Washington, Jose Manuel Romualdez.

According to Philippines News Agency, Romualdez addressed the issue during a meeting at the US – Association of Southeast Asian Nations (ASEAN) Business Council in Pasay City, labeling the White House’s tariff plan as ‘very disturbing.’ He emphasized the collaborative efforts between the semiconductor sector and key organizations, including the US-ASEAN Business Council, the US Chamber of Commerce, and the Semiconductor Industry Association in the US, to find solutions to the potential economic impact.

Romualdez highlighted that US-based semiconductor companies are also advocating against the tariff. He expressed concerns that imposing a 100 percent tariff on chip exports could significantly impact the Philippine semiconductor industry, citing the uncertain status of a billion-dollar investment from Texas Instruments.

In addition to addressing semiconductor tariffs, ongoing negotiations aim to reduce a 19 percent reciprocal tariff imposed by President Trump on Philippine goods. Romualdez noted the potential for these tariffs to decrease as trade balances improve and expressed optimism about finding a mutually beneficial solution with the US Trade Representative.

Foreign Affairs Secretary Ma. Theresa Lazaro underscored the positive effect of such tariffs on intra-ASEAN trade, indicating active discussions within ASEAN on expanding trade opportunities.

Romualdez further called on the US to increase its investments in the Philippines, emphasizing the strategic importance of the country in America’s Indo-Pacific strategy. He advocated for enhanced economic cooperation to fortify the alliance between the two nations, highlighting the inseparable link between prosperity and security.