The United States is not closing its doors on a possible free trade agreement (FTA) with the Philippines, according to Philippine Ambassador to the US Jose Manuel Romualdez. He said US Trade Representative Jamieson Greer indicated that Washington is “going to consider” an FTA, leaving the possibility open, potentially after the US midterm elections.
Romualdez noted that the Trump administration’s proposed 19% tariff on Philippine goods, reduced by 1% from the original figure, is “not written in stone.” The Philippine government has requested certain exemptions, which are currently under discussion.
Beyond trade, Romualdez highlighted ongoing efforts to boost US investments in the Philippines, particularly in the Luzon Economic Corridor (LEC) and defense manufacturing. The US recently announced a foreign assistance package to develop the LEC, a trilateral initiative with Manila and Tokyo focusing on infrastructure projects in Luzon, especially Subic Bay.
He also mentioned progress on plans for a US ammunition manufacturing hub in Subic Bay, included in the proposed 2026 US National Defense Authorization Act (NDAA). The US is exploring local partnerships to establish the facility, which could produce various types of ammunition, including for Howitzers and rifles.