Despite negotiations, the tariff imposed by the United States on the Philippines has increased to 20 percent from 17 percent — an escalation that could severely impact the country’s exporters.

This was confirmed by Trade Undersecretary Allan Gepty on Thursday, saying that US-bound exports from the Philippines will now be subject to a 20 percent tariff.

“Yes, and we will have to issue a statement,” he told the DAILY TRIBUNE in a Viber message.

A source from the Department of Trade and Industry (DTI) said the Philippine government has received the formal letter stating the tariff increase, which will take effect on 1 August.

In May, the country’s economic team — led by Special Assistant to the President for Investment and Economic Affairs Secretary Frederick Go and Trade Secretary Cristina Roque — traveled to the United States to meet with US Trade Representative Jamieson Greer in a bid to renegotiate the original 17 percent tariff imposed in April.

Earlier, 2025 ASEAN BAC Chairperson Tan Sri Nazir Razak of Malaysia urged ASEAN member states to work together to mitigate the impact of former President Donald Trump’s sweeping tariff measures.

“Although we don’t know what the outcome would be yet, as our leaders announced, our strategy will be: one, negotiate the best possible deal with the US; two, make sure that we are prepared to help the local businesses that will suffer the most; three, try and do more business within ASEAN, and four, look for more regions to do business with. Under Malaysian chairmanship, we’ve engaged extensively with other South countries, the GCC (Gulf Cooperation Council), and so on,” said Razak in an exclusive interview.