Trump announces trade deals with the Philippines and Indonesia with 19% tariffs
"We concluded our Trade Deal, whereby The Philippines is going OPEN MARKET with the United States," the president said on his Truth Social platform.
Philippine President Ferdinand Marcos Jr. speaks with President Donald Trump.
U.S. President Donald Trump announced Tuesday he had reached a trade deal with the Philippines for the application of 19% tariffs on goods from the archipelago, instead of the 20% he had threatened the country with in a letter.
"We concluded our Trade Deal, whereby The Philippines is going OPEN MARKET with the United States," Trump said on his Truth Social platform after receiving his Philippine counterpart Ferdinand Marcos at the White House.
These are the third customs tariffs announced to the country: he started in April with the 17% threat, which he increased to 20% in a letter sent to the Philippine government on July 9. The Philippines is among dozens of nations that Trump warned of new tariffs starting August 1.
"It was a beautiful visit," Trump added on his social media about the meeting with his counterpart.
Washington imposes tariffs on the country despite increasingly close defense relations between the U.S. and the Philippines, a former U.S. territory that previously answered to Spain.
Bound by a mutual defense treaty since 1951
"Everything that we consider part of the modernization of the Philippine military is really a response to the circumstances surrounding the situation in the South China Sea," Marcos said next to Trump. "We are primarily concerned about the defense of our territory and the exercise of our sovereign rights," he added.
Manila and Washington have been bound by a mutual defense treaty since 1951 and often conduct joint military exercises in the South China Sea in areas claimed by Beijing.
The two allies have strengthened their cooperation since Marcos came to power in 2022.
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The agreement with Indonesia
Also on Tuesday, minutes after the meeting with the Philippines, the president made another trade announcement on his social network.
"It is a great honor for me to announce our Trade Agreement with the Republic of Indonesia, represented by its respected president, Prabowo Subianto. It is agreed that Indonesia will be an open market for U.S. industrial, technological and agricultural products," Trump wrote on Truth Social.
The Republican said his country will sell Indonesian products at a zero tariff, while his partner will pay 19% on all its products entering the U.S.
In addition, Indonesia will supply the U.S. with "its valuable critical minerals and sign major deals worth tens of billions of dollars for the purchase of Boeing aircraft, U.S. agricultural products and U.S. energy," Trump added in his message.
The president described the deal as a "BIG WIN" for American automakers, technology companies, workers, farmers and ranchers.
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