Senator Imee R. Marcos has raised alarm over the imposition of 100 percent tariffs by the United States on Philippine semiconductor exports, warning that the move could severely cripple an industry valued at USD 4.5 to 6 billion in annual U.S.-bound shipments.

“We cannot underestimate the devastating impact these recent U.S. trade decisions may have on our semiconductor exports,” Marcos said Monday. 

She further lamented. “It’s disheartening to learn that our century-long diplomatic relations — not just as a strategic ally, but also as a trusted and reliable trade partner to the U.S. — have only led to this. Regardless, the Philippines must not remain a passive observer. We need a plan — not just false hope.”

The senator’s remarks come as local manufacturers in chip packaging, testing, and assembly — who make up the bulk of the Philippine semiconductor industry — now face serious threats to their operations. 

While American-invested firms appear to be spared from the tariffs, domestic companies are left vulnerable, prompting concern from industry leaders.

The Semiconductor and Electronics Industries in the Philippines Foundation, Inc. (SEIPI) has also issued a warning, citing potential massive job losses and declining competitiveness if the tariffs are enforced without a strong and immediate national response.

To protect the semiconductor industry, Marcos laid out several proposed solutions. These include pushing for targeted U.S. exemptions; making contingency contracts with each customer; and rapidly diversifying orders and markets as a matter of national policy.

“The U.S. is not the only market in the world,” Marcos said, urging both the Department of Trade and Industry (DTI) and the Department of Foreign Affairs (DFA) to act swiftly in exploring new trade partners and expanding the country’s export base.

“If we keep relying on patience and pleading, our industry will collapse before any solution arrives. We must act now — seek new markets, enforce our own policies, and protect our workers,” she added.

The senator’s call to action underscores growing concerns about the country’s economic resilience amid global trade tensions and highlights the urgent need for policy direction to shield one of the Philippines’ most vital export sectors.

“Saving the semiconductor industry is also saving the future of the Philippine economy,” she said.