Department of Trade and Industry Secretary Cristina Roque on Friday (Aug. 1, 2025) expressed optimism that they would still be able to get a good trade deal with the US after the latter delayed the implementation of new tariff rates. The higher tariff rates were scheduled for implementation during the day, but the US announced its delay to Aug. 7 in line with a new tariff plan. (PNA file photo by Joann S. Villanueva)
With a one-week reprieve on the new US-imposed tariffs, Philippine trade officials are seizing the moment to push for a more favorable deal with Washington.
“We’re making the most of this extension to negotiate a mutually beneficial outcome,” said Trade Secretary Cristina Roque on Friday. “Our goal is to secure a fair agreement as soon as possible.”
While talks with the US continue, Roque emphasized the country’s strategy of expanding its global trade reach to help Filipino exporters weather the changes. “Diversification is key,” she added. “We’re actively seeking new markets to ensure our products continue to find buyers around the world.”
Under the current US policy shift, a 19 percent tariff on Philippine exports was set to take effect on August 1, part of broader protectionist measures being rolled out. Despite the hike, the Philippines managed to secure the second-lowest rate among Asian countries—without making concessions in sensitive sectors like agriculture.
The looming tariff hike has rattled investors. Analysts point to the uncertainty as a factor behind the Philippine Stock Exchange index’s downturn and the peso’s weakness throughout the week.
Rizal Commercial Banking Corporation’s chief economist Michael Ricafort noted that markets are still gauging whether US President Donald Trump will hold firm or backtrack in the ongoing trade negotiations. “There’s speculation based on the ‘Trump Always Chickens Out’ pattern seen in recent months,” he said.
Originally, the US planned to impose a 17 percent tariff on Philippine goods. That figure climbed to 20 percent before being trimmed to 19 percent following President Ferdinand Marcos Jr.’s visit to the US from July 20 to 22.
For now, all eyes remain on how the negotiations unfold—and whether the Philippines can turn this moment of uncertainty into a win for local industries.