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10/07/2025

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10/07/2025
LAWIN.news

Philippines seeks ‘sectoral FTA’ with the US under Trump

by LAWIN.news February 11, 2025
written by LAWIN.news February 11, 2025
Philippine Ambassador to the United States, Jose Manuel Romualdez. Photo by Andrew Harnik/Pool/Agence France-Presse
141

The Philippine government is in discussions with the United States regarding the possibility of establishing a sector-specific trade agreement focused on critical minerals.

This potential agreement comes under the administration of former U.S. President Donald Trump.

Philippine Ambassador to the United States, Jose Manuel Romualdez, recently shared that the Philippines has a strong opportunity to negotiate a sectoral free trade agreement (FTA) with the U.S., despite the challenges involved in negotiating a broader FTA.

Romualdez indicated that this targeted approach could enhance the country’s exports and provide better market access for Filipino goods.

The U.S. is seeking reliable sources of these materials, which are vital for technology and defense sectors, while the Philippines is aiming to leverage its mineral resources to strengthen economic ties with the U.S.

The Trump administration expressed support for pursuing bilateral trade agreements, which has encouraged the Philippines to explore specific areas of cooperation.

Experts suggest that focusing on a sectoral agreement, rather than a broad FTA, may lead to more immediate benefits.

Such an agreement could simplify negotiations and expedite the implementation of trade enhancements in the critical minerals sector.

The U.S. sees securing a stable supply of critical minerals as essential for national security, particularly in defense technologies and renewable energy.

A sectoral agreement with the Philippines could help the U.S. reduce supply chain risks associated with these materials.

Both governments are expected to continue discussions on the feasibility and scope of the potential agreement.

These trade negotiations will require careful consideration of various economic, regulatory, and political factors to ensure mutually beneficial outcomes.

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