Marcos backs ASEAN non-retaliatory stand on tariffs
Credit to Author: Alexis Romero| Date: Tue, 27 May 2025 00:00:00 +0800
KUALA LUMPUR – President Marcos yesterday lauded the decision of the Association of Southeast Asian Nations (ASEAN) not to retaliate against the tariffs imposed by the US, as he emphasized the need for the regional bloc to work together in the face of an “increasingly uncertain future.”
“We commend Malaysia’s leadership in convening this special ASEAN Economic Ministers’ Meeting and welcome the consensus to avoid retaliatory measures,” Marcos said in his intervention or remarks at the 46th ASEAN Summit plenary session here.
“This measured and unified approach upholds ASEAN’s commitment to dialogue, diplomacy and a rules-based multilateral trading system,” he added.
Marcos said “unexpected trade barriers,” as well as geopolitical tensions and the unprecedented impact of climate change can disrupt communities and supply chains as well as remove the region’s hard-earned progress.
“Yet by working together, strengthening our institutions and building the resilience and capacities of our people, we can better navigate this increasingly uncertain future and turn challenges into opportunities for shared growth and stability,” he added.
The US reciprocal tariff policy, which will affect more than 100 countries, sets a 17 percent tariff on Philippine exports, lower than those of most Southeast Asian countries, but higher than the 10 percent baseline figure.
Washington has implemented a 90-day pause for tariffs that will lapse on July 31. However, it excluded China from the moratorium and even raised the levy imposed on the Asian country to 125 percent from 104 percent after the Chinese government imposed retaliatory tariffs.
US President Donald Trump claimed the tariff policy, which has sparked worries over a possible global economic slowdown, would benefit American industries and “make America rich again.”
In a joint statement issued after a video conference last April 10, ASEAN economic ministers said the regional bloc, the fifth largest economy in the world, is deeply concerned over the US tariff policy, saying it has caused uncertainty and would bring “significant” challenges to businesses as well as to global trade dynamics.
The unprecedented imposition of tariffs by the US would disrupt regional and global trade, investment flows and supply chains, impact the economic security and stability and affect livelihoods of millions of people in the region, the ministers said.
They noted that the US was ASEAN’s largest source of foreign direct investments and second largest trading partner last year.
Despite the potential adverse effects of the new tariff regime, the economic ministers said the ASEAN has committed to not impose any retaliatory measure and would instead push for a “frank and constructive dialogue” with the US.
Earlier this month, Philippine officials led by Special Assistant to the President for Investment and Economic Affairs Frederick Go traveled to the US to discuss the tariff policy with the US trade representative. A technical working group from the two countries’ trade agencies will continue the talks on the issue.
Also at the ASEAN summit, Marcos called for sufficient and accessible financing for climate resilience projects to enable Southeast Asian nations to secure their communities from the effects of the crisis. He said climate change is the “most defining and cross-cutting challenge of our time.”
Marcos noted that Southeast Asia is one of the most climate-vulnerable regions globally, with nearly half of its entire population facing significant climate-related risks.
He added that the unprecedented impact of climate change, as well as geopolitical tensions and unexpected trade barriers, could disrupt communities, supply chains and remove the region’s hard-earned progress.
Marcos assured ASEAN leaders that the Philippines, as the host of the Board of the Fund for Responding to Loss and Damage, would continue to advocate for “scientific, evidence-based, investment-led and transformative solutions to the climate crisis.”
“In this regard, we urge ASEAN’s partners to scale up predictable, accessible and adequate climate finance to enable ASEAN to realize its climate ambitions and safeguard the future of our communities,” the Chief Executive said.
Marcos said the Philippines has been working to build resilient communities equipped to face climate change, health crises and economic disruptions, and is implementing welfare programs “to ensure that dignity and opportunity are not lost even in times of crisis.”
The loss and damage fund is intended to assist climate vulnerable countries cope with the impact of climate change. The establishment of the fund was among the highlights of the 27th United Nations Climate Change Conference (COP27) held in Egypt in 2022.
The Philippines won a seat in the board at the COP28 in Dubai in 2023, providing the country a say in the management of the funding for climate-related projects.
The Philippines was elected to host the board in July last year.
In his speech, Marcos said the Philippines is reaffirming its commitment to the full implementation of the ASEAN Declaration to Prevent and Combat Trafficking in Persons Caused by the Abuse of Technology.
He noted that effective responses to transnational crime require robust cooperation, timely intelligence-sharing and strengthened law enforcement.
“We also call for deeper regional cooperation to address these emerging and transboundary challenges,” the President added.