US tariff exemptions for coco products sought
The Philippine government continues to seek tariff exemptions for key exports to the United States, including coconut and its products, according to Trade Secretary Cristina Roque.
Last July, US President Donald Trump signed an executive order modifying the tariff rates of global trade partners, including the Philippines, although Trade Undersecretary Allan Gepty said the terms were not yet final.
“That is unilateral imposition of the United States,” Gepty said at a Senate hearing last week, referring to the 19-percent tariff imposed on Philippine exports to America that was supposed to have taken effect on Aug. 7.
“Even if there are announcements or tweets, the details (of the agreement) have yet to be negotiated. Negotiations are ongoing,” he said.
But while those talks continue, the local coconut industry is looking to diversify its export markets to mitigate the impact of the US tariffs on Philippine goods, according to the Philippine Coconut Authority (PCA).
The US remains a significant market, but coconut exporters plan to explore other countries with high demand for the commodity.
“There is a bigger market than the US and that is in the areas of Europe and also in Asia like Japan, China,” PCA Administrator Dexter Buted said on the sidelines of the Coconut Philippines Trade Fair.
“For China, [the demand is] more on food, the young coconut, the coconut water, same with Japan. But when you go to Europe, the VCO (virgin coconut oil) and others … like desiccated coconut, which they use for pastries, breads and chocolates. That’s why the demand there is high,” he told reporters.
Buted also said that the demand for coconut water has surged, citing Century Pacific Food Inc., which recently inked a P14-billion contract to supply coconut water to global brand Vita Coco for five more years.
Coconut product exports amounted to $1.97 billion in the January to July 2025 period, surging by 43.5 percent from last year, data from the Philippine Statistics Authority showed.
Coconut oil was the top coconut export, bringing in $1.62 billion, up 42.9 percent year-on-year.
Coconut oil is one of the country’s top 10 export products, with electronic products topping the list with $25.61 billion.
The United States remained the country’s leading export destination, receiving 16 percent of the country’s total exports, followed by Hong Kong (14.1 percent) and Japan with 14 percent.
