US President Donald Trump agreed to reduce the proposed tariffs on the Philippines from 20% to 19%, a small reduction of 1 percentage point, after meeting with Philippine President Ferdinand Marcos Jr. at the White House. Trump described Marcos as a “very tough negotiator” and expressed confidence in reaching a trade deal, stating they’re “very close to finishing a trade deal — a big trade deal, actually”.
The Philippines will open up completely to US goods, but the US will still impose a 19% tariff on Philippine products, a major exporter of high-tech items and apparel. Trump wrote on his Truth Social platform, “It was a beautiful visit, and we concluded our Trade Deal, whereby The Philippines is going OPEN MARKET with the United States, and ZERO Tariffs”.
Trump and Marcos discussed defense relations, with the two countries reaffirming their commitment to the 1951 Mutual Defense Treaty. Marcos emphasized the Philippines’ concerns about China’s growing presence in the South China Sea, while Trump credited himself with shifting the Philippines’ stance towards the US.
The trade rift comes amid strengthening defense ties between the US and the Philippines, a former US colony and treaty-bound ally that has seen high tensions with China. The US deployed ground-launched missiles in the Philippines last year under Trump’s predecessor Joe Biden, and Washington has also eyed ammunition manufacturing in the country.
