Marcos on 1% US tariff cut: Significant achievement in real terms

By Darryl John Esguerra, Philippine News Agency

‘SIGNIFICANT ACHIEVEMENT’. President Ferdinand R. Marcos Jr. and United States President Donald Trump meet at the Oval Office in the White House on Wednesday (July 23, 2025). President Marcos said the reduced 19 percent tariff on Philippine exports – down from the US’ proposed 20 percent – is a “significant achievement.” (Photo: Bongbong Marcos/Facebook)

MANILA – President Ferdinand R. Marcos Jr. defended the Philippines’ new trade arrangement with the United States (US), saying the reduced 19 percent tariff on Philippine exports—down from the proposed 20 percent—is a “significant achievement,” amid questions over its fairness.

“One percent might seem like a very small concession. However, when you put it in real terms, it is a significant achievement,” Marcos said in a press briefing following his meeting with US President Donald Trump at the White House on Wednesday (Manila time).

The President acknowledged that the new deal also opens key Philippine markets to American products—particularly vehicles, agricultural goods, and pharmaceuticals—but said the arrangement will benefit Filipinos through lower prices and stronger bilateral trade.

“We will open that market and no longer charge tariffs on that… para makamura naman ‘yung mga – maging mas mura ‘yung gamot natin (so we can lower the cost of medicines),” he said.

Marcos said while the 19 percent tariff on Philippine goods is still substantial, it reflects a step forward in trade engagement with Washington D.C. and lays the groundwork for future negotiations.

“That’s now our template,” he said, noting that more discussions are expected to refine the terms further.

The US remains the Philippines’ top export destination, with USD 1.1 billion in goods shipped in May 2025, accounting for 15.3 percent of total Philippine exports.