logo
Trump agrees to small reduction in Philippine tariffs

Trump agrees to small reduction in Philippine tariffs

News.com.au22-07-2025
US President Donald Trump agreed Tuesday to reduce threatened tariffs on the Philippines, but only by one percentage point, after what he termed a successful meeting with his counterpart Ferdinand Marcos.
Welcoming Marcos to the White House, Trump called him a "very tough negotiator" and said: "We're very close to finishing a trade deal -- a big trade deal, actually."
In a social media post shortly afterward, Trump said that while the Philippines would open up completely to US goods, he would still impose a 19 percent tariff on products from the Southeast Asian country, a major exporter of high-tech items and apparel.
"It was a beautiful visit, and we concluded our Trade Deal, whereby The Philippines is going OPEN MARKET with the United States, and ZERO Tariffs," Trump wrote on his Truth Social platform.
The Philippines was among two dozen economies confronted by Trump with letters this month warning of 20 percent tariffs on all goods coming into the United States as of August 1.
The 19 percent rate is still above the 17 percent threatened by Trump in April, when he threatened sweeping global tariffs.
The trade rift comes despite increasingly close defense relations between the United States and the Philippines, a former US colony and treaty-bound ally that has seen high tensions with China.
The United States last year, under Trump's predecessor Joe Biden, deployed ground-launched missiles in the Philippines.
Washington has also eyed ammunition manufacturing in the Philippines, despite the closure in 1992 of the US naval base at Subic Bay due to heavy public pressure.
"All of what we consider part of the modernization of the Philippine military is really a response to the circumstances that surround the situation in the South China Sea," Marcos said next to Trump.
Trump devoted much of the appearance to attacks on his Democratic predecessors Biden and Barack Obama.
"We are essentially concerned with the defense of our territory and the exercise of our sovereign rights," said Marcos.
"Our strongest, closest, most reliable ally has always been the United States."
- Trump eyes China visit -
China and the Philippines have engaged in a series of confrontations in the contested waters of the South China Sea, which Beijing claims almost entirely, despite an international ruling that the assertion has no legal basis.
Trump has frequently questioned allies over their military spending, pondering why the United States should defend them in the NATO alliance.
He has voiced fewer doubts about the Philippines. Both Defense Secretary Pete Hegseth and Secretary of State Marco Rubio in meetings with Marcos on Monday vowed to honor the 1951 Mutual Defense Treaty with the Southeast Asian nation.
The Trump administration has identified China as the top US adversary but the US president has also boasted of his relationship with Chinese counterpart Xi Jinping.
Speaking alongside Marcos, Trump said he would "probably" visit China at Xi's invitation "in the not-too-distant future."
He said of Marcos: "I don't mind if he gets along with China very well, because we're getting along with China very well."
Trump added the Philippines had been "maybe tilting toward China" and "we untilted it very, very quickly."
"I just don't think that would have been good for you," Trump said.
The US president credited himself with the shift, although the turn towards Washington began after the 2022 election of Marcos, before Trump returned to power.
Marcos's predecessor Rodrigo Duterte had flirted with closer relations with China and bristled at US criticism over human rights under Biden and Obama.
Duterte is facing charges of crimes against humanity at the International Criminal Court over a sweeping campaign against drug users and dealers that rights groups say killed thousands.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Relief in Southeast Asia as Trump's tariffs level field
Relief in Southeast Asia as Trump's tariffs level field

Perth Now

timean hour ago

  • Perth Now

Relief in Southeast Asia as Trump's tariffs level field

Southeast Asian countries are breathing a sigh of relief after the US announced tariffs on their exports that were far lower than threatened and levelled the playing field with a rate of about 19 per cent across the region's biggest economies. US President Donald Trump's global tariffs offensive has shaken Southeast Asia, a region heavily reliant on exports and manufacturing and in many areas boosted by supply chain shifts from China. Thailand, Malaysia and Cambodia joined Indonesia and the Philippines with a 19 per cent US tariff, a month after Washington imposed a 20 per cent levy on regional manufacturing powerhouse Vietnam. Southeast Asia - with economies collectively worth more than $US3.8 trillion ($A5.9 trillion) - had raced to offer concessions and secure deals with the United States, the top export market for much of the region. Malaysia's trade ministry said its rate, down from a threatened 25 per cent, was a positive outcome without compromising on what it called "red line" items. Thailand's finance minister said the reduction from 36 per cent to 19 per cent would help his country's struggling economy face global challenges ahead. "It helps maintain Thailand's competitiveness on the global stage, boosts investor confidence and opens the door to economic growth, increased income and new opportunities," Pichai Chunhavajira said on Friday. The extent of progress on bilateral trade deals with the United States was not immediately clear, with Washington so far reaching broad "framework agreements" with Indonesia and Vietnam, with scope to negotiate further. Thailand was about a third of the way there, Pichai said. The United States on Friday slashed the tariff rate for Cambodia to 19 per cent from earlier levies of 36 per cent and 49 per cent, a major boost for its crucial garments sector. "If the US maintained 49 per cent or 36 per cent, that industry would collapse in my opinion," Cambodia's Deputy Prime Minister and top trade negotiator Sun Chanthol said. In Thailand and Malaysia, business groups cheered a tariff rate that could signal a maintenance of the status quo between rival markets, among them beneficiaries of so-called "China plus one" trade. Much remains to be worked out by the Trump administration, including non-tariff barriers, rules of origin and what constitutes trans-shipment for the purposes of evading duties, a measure targeting goods originating from China with no or limited value added, where a 40 per cent tariff would apply. Vietnam has one of the world's largest trade surpluses with the United States, worth more than $US120 billion in 2024, and has been often singled out as a hub for the illegal rerouting of Chinese goods to America. It reached an agreement in July that slashed a levy from a threatened 46 per cent to 20 per cent, but concerns remain among some businesses that its heavy reliance on raw materials and components imported from China could lead to a wider application of the 40 per cent rate.

Closing Bell: ASX cops body shot, down 0.92pc as Trump swings tariff bat
Closing Bell: ASX cops body shot, down 0.92pc as Trump swings tariff bat

News.com.au

timean hour ago

  • News.com.au

Closing Bell: ASX cops body shot, down 0.92pc as Trump swings tariff bat

You get a tariff… You get a tariff… You get a tariff! Reminiscent of Oprah on a particularly bad hair day, Trump was handing out tariffs like they were Volkswagens today. With the tariff pause deadline finally expiring, US President Trump gleefully began swinging the tariff club, smacking Canada with a 10% hike to bring their total tariff rate to 35%. Dozens of countries were walloped with new import taxes, coming in at anywhere from 10% to 50%. Brazil, India, Taiwan, Switzerland, South Africa, Laos, Vietnam… It might genuinely be easier to list who isn't affected. While Australia was spared anything beyond the current 10% tariff we're operating under (so far), the ASX was a bit like a poorly treated dog spotting a rolled newspaper in hand. The bourse retreated 0.92% in a sea of red, with 10 of 11 sectors in the negative. Utilities was the only sector to stand its ground, rising 0.70% as investors piled into the defensive industry. Carbon credit and landfill gas management firm LGI (ASX:LGI) soared 14% in trade on no fresh news. They were joined by small caps Energy World (ASX:EWC), up 4%, and Frontier Energy (ASX:FHE), up 5%. In the bigger stocks, Origin Energy (AX:ORG) gained 0.7%, while APA Group (ASX:APA) added 0.7% and AGL Energy (ASX:AGL) lifted 0.4%. Taking a peek at our indices, the ASX 200 Resources recovered a little of its pep to inch up 0.08%, mostly on gains in rare earth stocks, before reversing course and sliding by the same percentage. Dateline Resources (ASX:DTR) jumped 17%, while Northern Minerals (ASX:NTU) added 3.2% and Lynas Rare Earths (ASX:LYC) 3.6%. Lithium and iron ore miner Mineral Resources (ASX:MIN) joined the party, climbing 4.6%. ASX SMALL CAP LEADERS Today's best performing small cap stocks: Code Name Last % Change Volume Market Cap DMG Dragon Mountain Gold 0.013 117% 1130675 $2,368,030 CYQ Cycliq Group Ltd 0.004 100% 16315854 $921,033 1AE Aurora Energy Metals 0.077 54% 2184444 $8,953,187 ECT Env Clean Tech Ltd. 0.003 50% 311236 $8,030,871 EEL Enrg Elements Ltd 0.0015 50% 250000 $3,253,779 MEL Metgasco Ltd 0.003 50% 128627 $3,674,173 RDS Redstone Resources 0.004 33% 2000000 $3,102,802 RLG Roolife Group Ltd 0.004 33% 70872 $4,778,344 LKY Locksley Resources 0.14 33% 34589399 $19,250,000 PNN Power Minerals Ltd 0.078 32% 2760510 $8,517,795 AON Apollo Minerals Ltd 0.009 29% 150000 $6,499,198 MGU Magnum Mining & Exp 0.009 29% 4108571 $16,226,260 PIL Peppermint Inv Ltd 0.0025 25% 200090 $4,602,180 VRC Volt Resources Ltd 0.005 25% 4040000 $18,739,398 GBE Globe Metals &Mining 0.055 25% 995968 $30,564,732 JLL Jindalee Lithium Ltd 0.485 23% 80701 $31,548,984 RR1 Reach Resources Ltd 0.011 22% 1316637 $7,869,882 IR1 Irismetals 0.11 22% 980610 $16,016,344 CBL Control Bionics 0.045 22% 148156 $10,900,611 SPG Spc Global Holdings 0.4 21% 116060 $63,684,021 SRI Sipa Resources Ltd 0.018 20% 787615 $7,807,469 ADG Adelong Gold Limited 0.006 20% 4221257 $11,243,383 BNL Blue Star Helium Ltd 0.006 20% 661184 $13,474,426 DTM Dart Mining NL 0.003 20% 8039329 $2,995,139 PXX Polarx Limited 0.012 20% 11153225 $23,755,010 In the news… Dragon Mountain Gold (ASX:DMG) has wiped out a convertible loan from October 2024 with a new loan provided by an unrelated major shareholder, ticking off the interest at the same time. With its books in better shape, DMG has more flexibility to pursue fund raising efforts and look at new opportunities for acquisitions. Aurora Energy Metals (ASX:1AE) is rubbing its hands together over a potential US$16 million payout of Eagle Energy Metals' shares, as Eagle moves to list on the Nasdaq via a SPAC merger with Spring Valley Acquisition Corp. Eagle holds an option over 1AE's Aurora uranium project in Oregon – if the deal goes through, 1AE will be entitled to a 1% royalty on future uranium production with some milestone payments on the table to boot. Locksley Resources (ASX:LKY) added $5.3m to the war chest after closing out a heavily oversubscribed share placement, featuring Tribeca Investment Partners as a cornerstone player. Management says it's a tick of approval for its US critical minerals strategy, with a dozen new institutional investors joining the ledger. The funding will go to drilling high-grade antimony and rare earths at its Mojave project in California, and advancing downstream permitting in the US. ASX SMALL CAP LAGGARDS Today's worst performing small cap stocks: Code Name Last % Change Volume Market Cap 1TT Thrive Tribe Tech 0.006 -40% 6494637 $1,015,864 EDEDA Eden Inv Ltd 0.022 -27% 158486 $6,164,822 PLG Pearlgullironlimited 0.011 -27% 5182 $3,068,127 SFG Seafarms Group Ltd 0.0015 -25% 85632 $9,673,198 GMN Gold Mountain Ltd 0.057 -25% 735124 $9,280,558 NAG Nagambie Resources 0.013 -24% 708816 $13,656,140 AIV Activex Limited 0.01 -23% 509846 $2,801,534 GGE Grand Gulf Energy 0.002 -20% 27966263 $7,051,062 MOH Moho Resources 0.004 -20% 200000 $3,727,070 OEL Otto Energy Limited 0.004 -20% 3181510 $23,975,049 TMK TMK Energy Limited 0.002 -20% 75548 $25,555,958 TMX Terrain Minerals 0.002 -20% 611996 $6,329,536 BDM Burgundy D Mines Ltd 0.027 -18% 2120163 $46,903,965 OKJ Oakajee Corp Ltd 0.048 -17% 359273 $5,303,870 ADY Admiralty Resources. 0.005 -17% 250000 $15,776,876 ALM Alma Metals Ltd 0.005 -17% 2150809 $11,104,423 FAU First Au Ltd 0.005 -17% 2100000 $12,457,748 PRM Prominence Energy 0.0025 -17% 84000 $1,459,411 SLZ Sultan Resources Ltd 0.005 -17% 169954 $1,566,501 CHR Charger Metals 0.05 -15% 171504 $4,567,795 IRD Iron Road Ltd 0.028 -15% 47500 $27,412,862 DKM Duketon Mining 0.125 -14% 230177 $17,749,679 RPG Raptis Group Limited 0.165 -13% 543861 $66,630,122 AQX Alice Queen Ltd 0.0035 -13% 50000 $5,538,785 KRR King River Resources 0.007 -13% 167319 $11,708,696 IN CASE YOU MISSED IT Phase 1 drilling at Antipa Minerals' (ASX:AZY) Minyari Project in WA's Paterson Province has delivered new gold-copper zones and extended several existing deposits. Asra Minerals (ASX:ASR) has completed a 23-hole reverse circulation drilling program at the Challenge prospect building on previous shallow gold hits. Everest Metals Corporation (ASX:EMC) has validated the presence of further gold mineralisation beyond the established resource at its Mt Dimer Taipan project northeast of Kalgoorlie. Aura Energy (ASX:AEE) has signed two key agreements for the future sale of uranium from its Tiris project in Mauritania. Magmatic Resources (ASX:MAG) have locked in a $3.5 million exploration budget with joint venture partner Fortescue (ASX:FMG). MoneyMe closed FY25 strong and heads into FY26 with strong operating cash flows, steady growth and AI firepower. Redcastle Resources' (ASX:RC1) scoping study has indicated a two-stage open pit at Queen Alexandra could generate early cash flow of up to $15m. DigitalX (ASX:DCC) has delivered a strong June quarter and made a decisive strategic pivot, doubling down on Bitcoin as a core treasury asset. Trading halts Akora Resources (ASX:AKO) – cap raise Altair Minerals (ASX:ALR) – project acquisition and cap raise Ballymore Resources (ASX:BMR) – cap raise Infini Resources (ASX:I88) – cap raise Macro Metals (ASX:M4M) – cap raise Nutritional Growth Solutions (ASX:NGS) – cap raise Perpetual Resources (ASX:PEC) – cap raise Silver Mines (ASX:SVL) – cap raise Variscan Mines (ASX:VAR) – cap raise At Stockhead, we tell it like it is. While Locksley Resources is a Stockhead advertiser, it did not sponsor this article.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store