DFA rejects forced labor claims after US imposes 12.5% tariff on PH exports

DFA rejects forced labor claims after US imposes 12.5% tariff on PH exports
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THE Department of Foreign Affairs (DFA) maintained on Saturday, July 25, 2026, that Philippine-made products exported to the United States are not produced using forced labor, following Washington's decision to impose a 12.5 percent tariff on Philippine goods over concerns related to forced labor enforcement.

In a statement, DFA spokesperson Analyn Ratonel said the Philippines has consistently upheld labor standards and rejected allegations that its exports rely on forced labor.

“The Philippines has long demonstrated that its locally produced goods, including those exported to the US, do not rely on forced labor,” Ratonel said.

She stressed that the country already has laws prohibiting forced labor and is further strengthening its legal and institutional framework by developing mechanisms to investigate and address allegations involving goods that may have been produced wholly or partly through forced labor.

Ratonel added that the Philippine government will continue discussions with US authorities as both countries work through the issue.

The DFA's statement came after the United States imposed a 12.5 percent tariff on Philippine exports under a new trade policy targeting countries that Washington said have not sufficiently prohibited or enforced bans on the importation of goods produced through forced labor.

The measure followed an investigation conducted by the Office of the United States Trade Representative (USTR) under Section 301 of the US Trade Act of 1974.

The USTR examined 60 trading partners, including the Philippines, to determine whether they have laws banning imports made with forced labor and whether those laws are effectively enforced.

Economies that already prohibit or have committed to prohibiting such imports were assigned a lower 10 percent tariff, while the Philippines was among those subjected to the higher 12.5 percent rate.

Despite the new tariff, Philippine officials have emphasized that the country maintains a firm policy against forced labor. The government has also signaled its intention to continue engaging the US in hopes of addressing Washington's concerns while preserving stable trade relations between the two longtime partners.

The United States is one of the Philippines' largest export markets, with electronics, semiconductors, and agricultural products among the country's key shipments to the American market. (TPM/SunStar Philippines)

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