Philippines goods to face 19% tariff, Trump says

July 22, 2025

The US plans to impose a 19% tariff on Philippine imports as part of a broader agreement announced by President Trump following a White House meeting with the Philippine president. According to Trump, this arrangement includes the Philippines removing duties on US goods and establishing military cooperation between the nations. This tariff is even higher than Trump's initial April threat, though Philippine officials have not confirmed the agreement.

Who is affected

The Philippines and its export industries (including car parts, electric machinery, textiles, and coconut oil sectors)
US consumers and businesses that import Philippine goods
US companies like General Motors and Stellantis, which have reported significant costs from tariffs ($1 billion and €300 million respectively)
Other trading partners including the European Union, Canada, UK, China, and Indonesia who face similar tariff pressures

What action is being taken

The US is imposing a 19% tariff on Philippine imports
Trade negotiations are continuing with various countries including "complex negotiations" with Canada
The European Union is developing plans for potential retaliation against US tariffs
Trump is sending letters to countries outlining plans for new tariffs set to take effect August 1

Why it matters

The tariffs represent a significant shift in US trade policy, potentially creating the highest US duties since the early 1900s
The economic impact is substantial, with major companies like General Motors reporting over $1 billion in costs from tariffs in a single quarter
The Philippines would face higher duties than initially threatened (19% versus the earlier 17%)
The Philippine-US trade relationship involves approximately $14.2 billion worth of goods exported to America annually
These tariff disputes are causing financial turmoil and uncertainty in global markets

What's next

No explicit next steps stated in the article

Read full article from source: BBC