Finance Secretary Ralph G. Recto on Thursday highlighted the Philippine economy’s resilience amid global trade disruptions, emphasizing the government’s efforts to attract more investors through the CREATE MORE Act. While the country faces challenges such as supply chain disruptions, higher inflation, and interest rates, its domestic demand-driven economy offers a cushion against external shocks like trade wars.
Recto pointed out that the CREATE MORE Act strengthens the country’s appeal for foreign investment, especially given the relatively lower tariffs on Philippine exports to the United States. Compared to other ASEAN nations, Philippine exports to the US face a significantly lower tariff of 17 percent, making the country an attractive destination for businesses looking to relocate or expand.
In addition, the Philippines is positioning itself as a hub for global value chains in sectors like electronics, textiles, food, and automobiles. The country’s comparative advantage in coconut oil and other coconut-based products also presents opportunities for increased market share in the US, further bolstering its economic standing.
The government remains proactive in diversifying export markets, pursuing new free trade agreements with partners like the UAE, EU, Chile, and Canada, ensuring the Philippines remains competitive on the global stage.
