Free trade pact with Chile seen inked by 2026

The Philippine government aims to ink a free trade agreement (FTA) with Chile by 2026, marking the country’s first trade accord with a Latin American counterpart.

The target is to conclude negotiations with Chile this year and have the FTA signed by next year, according to Marie Sherylyn Aquia. She is the director of the Department of Trade and Industry’s Bureau of International Trade Relations.

“We hope that it will serve as a building block towards strengthened economic cooperation in the broader Asia-Pacific region,” Aquia said during a Tariff Commission (TC) hearing.

“The Cepa (Comprehensive Economic Partnership Agreement) will also be an important part of both Chile and the Philippines’ broader regional agenda, advancing the goals of economic integration, innovation and mutual benefit,” Aquia said.

Aquia said the Philippines and Chilean economies are “complementary.” This, considering that Chile can offer its resources, technology and expertise while Manila has labor, services and access to the wider Asean (Association of Southeast Asian Nations) region.

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The third round of discussions will take place in Manila on Oct. 5 to Oct. 10. Both parties will tackle text-based negotiations or the fine print of the agreement, she added.

Philippine exports to Chile amounted to $43.3 million in 2024, while imports reached $290.8 million.