The Philippine Department of Trade and Industry (DTI) has advised exporters to coordinate with their U.S. importers to determine whether recent shipments qualify for the new U.S. tariff exemption on Philippine agricultural goods.
In an advisory, the DTI's Export Marketing Bureau said the U.S. executive order issued on Nov. 14 removes the 19 per cent tariff on Philippine coconut products, banana, pineapple, and dried tropical fruit. The updated tariff rules apply to goods that entered the United States beginning 12:01 a.m. EST on Nov. 13.
The advisory noted that, "If duties were already paid on goods that meet the effectivity date and are now exempt under the new executive order, refunds may be processed in accordance with U.S. law and standard U.S. Customs and Border Protection procedures." It added that exporters should work directly with U.S. importers or customs brokers to confirm tariff treatment and check whether shipments qualify for exemption or refund.
Trade Secretary Ma. Cristina A. Roque said earlier in the week that about US$1 billion worth of Philippine agricultural exports could benefit from the exemption, based on export volumes to the United States last year.
Following earlier exemptions granted to industrial goods, about 46 per cent of Philippine exports to the United States, based on last year's data, are now exempt from the 19 per cent tariff.
The United States first applied a 19 per cent reciprocal tariff on most Philippine goods entering the U.S. market in August.
Source: BusinessWorld
