The US administration on July 9 issued another round of tariff letters to eight countries, including the Philippines, Sri Lanka, Brunei, Algeria, Iraq and Brazil with tariffs ranging from 20% to 50%.
The latest letters add to 14 others issued earlier in the week and the tariffs will take effect on Aug 1 barring any trade deals reached before then.
00:25We are in receipt of the United States' latest reciprocal tariff for the Philippines.
00:37We are concerned that the U.S. has decided to impose a 20% tariff on Philippine exports.
00:44The fact remains, however, that the 20% rate is the second lowest among all reciprocal tariffs that the U.S. has imposed on the region.
00:56We remain committed to continuing negotiations with the United States in good faith to pursue a bilateral comprehensive economic agreement or, if possible, an FDA.
01:14If there is going to be a shock to the economy, that we don't know yet.
01:20That we have to wait and see.
01:21But for the time being, I don't think it is too premature for us to factor that and how many employment losses, all these things, how many, for specific Sri Lanka, it's uncertain and also difficult to estimate because it's a global phenomenon.
01:38It will affect exports up to about 3% of GDP compared to our exports.
01:45At the same time, our GDP will affect from about 0.25% to 1.5%.
01:52And the overall demand for the consumption from the U.S. market will decline.
01:58So that will be the main impact overall, with overall tariffs increasing in U.S.
02:05And since Sri Lanka's APRAs are mainly targeting the U.S. market, that sector will be the most affected.
02:12Madame la Ministre, Honorable Members, the discussions are constructive.
02:17We have engaged on key elements, such as tariffs, non-tariff barriers, economic security, strategic purchases, mutual investment, etc.
02:28We have made good progress on the text of the joint statement or agreement in principle, and I hope we can soon finalize our work.
02:37Crucially, while other nations faced increased tariffs from the United States as a result of the letters that President Trump sent out on Monday,
02:48our negotiations have spared the EU from facing higher tariffs.
02:51But let me be clear, while we remain committed to achieving a satisfactory deal, we need to acknowledge a certain degree of rebalancing will remain.
03:03This comes from differing perspectives and starting points.
03:07The U.S. sees the trading relationship with the EU as unbalanced due to the U.S. deficit on goods.
03:15Surely, our perceptions and viewpoints differ, but we remain committed to our goal, which is to restore predictability,
03:24providing businesses, workers and consumers the relief they seek and deserve against unwanted and damaging escalation.
