QUEZON CITY, (PIA) — The Philippines will likely experience minimal effects from the 17% tariff recently mandated by U.S. President Donald Trump, according to a top economic official.
Undersecretary Rosemarie Edillon, of the National Economic and Development Authority (NEDA), addressed concerns during the Bangon Bayang Mahal teleradyo program Friday, emphasizing that short-term economic impacts would be limited, noting that the Philippines faces lower tariffs than neighboring countries.
The official highlighted the government’s proactive approach through Administrative Order No. 20, issued in 2023, which aims to reduce non-tariff barriers. A surveillance unit was established to monitor these barriers’ impact on trade.
“If we look at the tariffs we impose on U.S. products, they average about 5%, but if we weigh them by their importance or their share in our total trade, it’s just over 3%,” she explained.
The NEDA official added that the Philippines must develop strategies to compete with countries offering similar products to the U.S. market while focusing on quality differentiation.
The official also refuted accusations of currency manipulation.
“We want to clarify that first of all, we don’t engage in currency manipulation. We can cite an IMF report stating that our exchange rate policy is what they call floating,” Edillon said in Filipino.
While the peso might strengthen in the short term due to the tariffs, Edillon noted that energy prices would remain primarily influenced by global oil market trends.
She assured that NEDA continues to monitor the situation while working to enhance the quality of Philippine exports. (JCO/PIA-NCR)
