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Philippines

US Revised Tariffs (%)

19

Ease of doing business

theboardiQ Tariffs Dashboard:

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Revised Tariff %
Original Tariff %
Country Tariff Rate %
Share of US Imports % (1 implies <1%)
19
17
1.8
1
Exports (in USD Bill.) 2024
Imports (in USD Bill.) 2024
Balance (in USD Bill.) 2024
9.3
14.18
-4.88

Implications

As of late January 2026, the trade relationship between the US and the Philippines is characterized by a "carrot and stick" approach. While broad reciprocal tariffs have created headwinds for major sectors, specific executive exemptions for agricultural products have provided a significant safety valve for the Philippine economy.


1. Latest US Tariffs Update (2026)


  • Reciprocal Tariff: A 19% reciprocal tariff remains the baseline for many Philippine exports to the US, a policy that took full effect in late 2025.

  • Agricultural Exemptions: In a major update, a recent US Executive Order has exempted over $1 billion worth of Philippine agricultural products from these tariffs. This covers key exports like coconut oil, bananas, processed fruits, coffee, and cocoa.

  • Tariff-Free Access: Approximately 46% of all Philippine exports to the US are currently entering tariff-free due to these specific exemptions and existing trade arrangements.

  • Pending Pressures: There is ongoing uncertainty regarding a potential 10% to 25% across-the-board tariff linked to broader US geopolitical negotiations (e.g., the Greenland purchase dispute), which could stack on top of existing duties if implemented.


2. Major Companies & Sectors Impacted

Sector

Impact Level

Key Companies / Entities

Electronics & Semiconductors

Moderate

Texas Instruments (PH), Amkor Technology, Integrated Micro-electronics, Inc. (IMI).

Agriculture & Food

Positive (Relief)

Del Monte Philippines, Dole Philippines, CDO Foodsphere.

Logistics & Shipping

High (Cost)

Maersk, MSC, and local port operators (ICTSI) facing volatile trade volumes.

Retail & Consumer Goods

Moderate

SM Investments, Robinsons Retail (impacted by higher import costs for US-sourced goods).

3. GDP & Balance of Trade (BOT) Impact


  • GDP Growth (2026 Forecast): Estimated at 5.3% to 5.4%. While the 19% tariff acts as a drag, growth is propped up by resilient domestic consumption (76% of GDP) and a surge in AI-related electronics demand.

  • BOT YTD (as of Jan 2026): * The trade deficit has narrowed to approximately $3.52 billion (monthly).

    • Exports: Surged 23.3% YoY, driven by a 43.6% jump in electronic products, which now account for nearly 60% of total export value.

    • Imports: Increased by 7.1%, largely due to electronic components and mineral fuels.

  • Balance of Payments (BOP): The BSP projects a deficit for 2026 due to the "widening trade-in-goods gap" and "restrained capital inflows" amid global tariff uncertainty.


4. SWOT Analysis: Philippine Trade 2026


Strengths

Weaknesses

* Robust domestic consumer base (76% of GDP).


* Dominance in global semiconductor supply chain.


* Strategic 80-year diplomatic ties with the US.

* High reliance on US and China markets.


* Logistical inefficiencies and high power costs.


* Vulnerability to climate-related supply shocks.

Opportunities

Threats

* US exemptions on $1B+ agricultural exports.


* Expansion of FTAs (UAE, Canada, CPTPP bid).


* AI boom driving demand for electronic components.

* Potential "stacking" of additional US tariffs.


* Trade diversion from China flooding regional markets.


* Global slowdown in trade volume (projected 0.5% growth).


US Revised Tariffs

Country Tariffs

Balance of Trade

Commercial Guide

Learn about the market conditions, opportunities, regulations, and business conditions in countries, prepared by U.S. Embassies worldwide, Commerce Department, State Department and other U.S. agencies’ professionals

Tariff Rate for US

World Bank staff estimates using the World Integrated Trade Solution system, based on tariff data from the United Nations Conference on Trade and Development's Trade Analysis and Information System ( TRAINS ) database and global imports data from the United Nations Statistics Division's Comtrade database.

US Imports Guide 

United States Imports from Countries during 2024, according to the United Nations COMTRADE database on international trade. United States Imports from Countries- data, historical chart and statistics - was last updated on April of 2025.

Investing in USA

theboardiQ Economic Relevance Score, ranks States of USA based on 11 parameters

Sources : ForbesUSDA Economic Research | TCGen Total Innovation Rank Index | Best States for Manufacturing | World Population Review | Tax Foundation | US News | BEA Data | Wikipedia International Trade Administration

theboardiQ's Economic Relevance Score provides a comprehensive, data-driven assessment of a nation's economic vitality and global significance. This score is meticulously calculated using 11 key parameters, each reflecting a critical facet of economic performance. It analyzes the representation of Fortune 500 companies within a nation, a strong indicator of its business environment and market size. The balance of trade surplus or deficit reveals the nation's international competitiveness and export strength. It incorporates Gross Domestic Product (GDP), a fundamental measure of overall economic output, and examine the health of key sectors like agriculture and manufacturing. The score also accounts for innovation, gauging a nation's ability to drive future growth through technological advancements. Crucial labor market indicators such as employment rates are considered, alongside fiscal policies reflected in tax rates. To capture the lived experience of citizens, it assesses cost of living and disposable income, providing insight into purchasing power and economic well-being. Finally, education levels are integrated, recognizing their pivotal role in fostering a skilled workforce and driving long-term economic development. By synthesizing these 11 parameters, theboardiQ's Economic Relevance Score delivers a nuanced and holistic view of a nation's economic standing, enabling informed strategic decisions. The Top 5 States in the assessment are Texas, North Carolina, Virginia, Florida and Washington. Texas does consistently well across most of the 11 variables especially in the areas of GDP, F500 representation in the State, Balance of Trade where it ranks 2nd nationally. North Carolina scores as the highest-ranking state nationally in manufacturing and performs consistently across the other variables. Virginia does well in disposable income where it ranks 3rd nationally. It also scores high in the variables of manufacturing and employment Florida holds the 4th ranking nationally for GDP and Tax Washington State scores the top spot for disposable income nationally, 2nd for education and 3rd for innovation. Colorado, with an overall rank of 7 scores the top spot for Education (schools and higher education). Nebraska, that ranked 10th overall, did well in Agriculture where it is ranked 3rd nationally as well as Trade Balance where it ranked 5th. Illinois, though ranked 20th overall did well nationally in F500 representation, GDP, Agriculture, and Disposable Income. Pennsylvania comes in at 21 overall doing well nationally in GDP (6th); Manufacturing (8th) and F500 representation (8th) New York scores 23rd overall with a 2 ranking in Disposable Income nationally, as well as 3rd in both F500 representation and GDP. California comes in at 29th overall and has the top spot ranking in a whopping 4 variables nationally – GDP, Innovation, Agriculture and F500 representation. However, performance in the areas of Trade Balance, Cost of Living, Tax, Manufacturing and Employment resulted in the overall ranking dipping. Wyoming at 30th overall scores the top spot nationally in the area of Tax Massachusetts at 31 overall does well in innovation where it is ranked 2nd nationally Arkansas at 36 and Alabama at 39, do well in overall Cost of Living where they are ranked 2nd and 3rd nationally, respectively. Louisiana ranked 44th overall is ranked 1st in Trade Balance nationally.

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