ITBPM unfazed by Trump’s 17% tariff… for now

The country’s information technology-business process management (IT-BPM) sector is not worried about United States President Donald Trump’s imposition of the 17% reciprocal tariff on the Philippines, but said they are still waiting for developments after its 90-day halt ends.

On 29 April, Trade Secretary Cristina Roque and Special Assistant to the President for Economic and Investment Affairs Secretary Frederick Go are set to travel to the US to meet US Trade Representative Jamieson Greer in a bid to appeal and lower the imposed 17 percent tariff on US-bound Philippine exports, banking on the strong bilateral and trade ties between the two countries.

“We hope not, but right now, it’s not affecting us because the manufacturing sector is the one to be directly hit. But we don’t know, as the Trump administration is unpredictable. Trump’s flip-flops are very evident,” said Jack Madrid, President of the Information Technology and Business Process Association of the Philippines, at the sidelines of the sealing of the IBPAP-DTI memorandum of understanding to promote performance excellence in the IT-BPM sector through the Philippine Quality Award (PQA) program, when asked about the implication of the levied duties.

“The problem now is the uncertainty of it all,” Madrid added.

PQA Program

Meanwhile, Madrid said the MOU signed between him and Secretary Roque to uphold IT-BPM performance through the PQA will raise the standards for everything they do in the industry.

Part of the MOU is the formulation of the IBPAP Quality Council, which will support IT-BPM organizations in adopting the PQA framework and participating in assessment, training, and recognition activities.

“This is not just an MOU but a call to action. Our industry is composed of all industries because business services cover all industries, namely banking, healthcare, technology, software, nursing, among others. So, whatever we get certified for, whoever we train, the curriculum, and the way we work, it all has to be done with excellence. This MOU is a powerful milestone,” Madrid told reporters.

The PQA program is deemed to be the highest level of national recognition for exemplary organizational performance in the country, established under Executive Order 448 of 1997 and Republic Act 9013 of 2001, patterned after the Malcolm Baldrige National Award of the U.S.

The purpose of the PQA is to promote performance excellence as a framework for improving competitiveness using a structured approach based on Total Quality Management (TQM) principles, assessed through seven categories; recognize role model organizations demonstrating outstanding management practices and results, and build a national culture of quality in both the public and private sectors.

For her part, Secretary Roque said the MOU represents more than just a formal agreement but an affirmation of its commitment to strengthening partnerships that drive national progress.

“The DTI is committed to supporting the IBPAP as best and as strongly as we can. The IT-BPM sector has been a pillar of economic resilience and a powerful engine of job creation in the Philippines. Through this MOU, we are opening new pathways for collaboration, particularly in embedding a mindset of excellence across organizations and institutions that are shaping our digital and economic future,” she said.

“Excellence is not a destination, but it is a way of doing business, a way of serving our communities, and a way of leading our nation toward a more sustainable, inclusive future. We must always strive for excellence, because if we strive for excellence,” she further stated.