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Tariff hikes and uncertainties we need to face

Published Jul 15, 2025 12:05 am  |  Updated Jul 14, 2025 06:17 pm
#MINDANAO
The recent announcement by the United States imposing the additional three percent tariff on goods shipped from the Philippines raised total tariffs from 17 percent last April to 20 percent. This provoked many reactions in the business community. While this leaves us with a lower tariff rate compared with some countries, the journey to get to this figure, alongside the local and global events that happened may have caused more confusion than clarity and confidence.
This announcement comes after months of discussing just how much the final tariff would be after the famous “liberation day” announcements last April. It also comes after a round of oil price increases and reductions following the Iran conflict, which can bring disruption on its own. Already, business groups like the Philippine Chamber of Commerce and Industry have raised concerns about how these will affect our exports.
However, while some may have gotten used to this prolonged set of disruptions, I am sure that many also have not. Nonetheless, some businesses will be cautious about expanding and hiring due to the uncertainty that these events may bring. Ultimately, this hesitation may impact their growth projections, and the economy’s growth projections. As our economic performance is measured as a rate of growth per year, remember that the economy expands when those engaged in economic activity, such as farms and businesses, grow. Growth is sorely needed today if we aim to achieve a better quality of life for Filipinos in the future.
The brutally frank truth is that confusion and disruption from global events such as the increased tariffs and conflict create uncertainty and provoke hesitation among businesses, which ultimately can harm economic growth. Given these challenges, we all have to work together to make the social environment conducive for growing business and the economy.
Our shepherds have spoken
For many Filipinos, Catholic and not, the statements of Filipino Roman Catholic Bishops carry much weight since they shed light on many issues faced by the populace, often those that escape common scrutiny, that bear an impact on the way we live, or ought to conduct ourselves in the world. This makes them the moral shepherds of many Filipinos.
The recent pastoral letter of the Catholic Bishops Conference of the Philippines (CBCP) takes a stand against the penetration of online gambling in many Filipinos’ lives, highlighting its deleterious effects on poor families, and the moral fabric of Filipino society. I agree with the bishops on this, especially since they are speaking as shepherds on a moral issue that few dare to speak about.
Often, morality is dismissed as an arcane body of thought better suited for a past left unenlightened by science. I however believe morality ought to be discussed since these pertain to the compass by which many of us make tough decisions in a truly confusing and complex world. This compass is especially vital when it comes to family income and where it should be spent. Definitely, what meager earnings Filipino families retain ought to be spent on useful pursuits that strengthen family life and nurture the future of children, not weaken it.
This matters to Filipinos because to nurture the next generation, we need to face the fact that monetary support, artificial intelligence, alumni networks, coffeehouse friends, online chat groups, momentary emotions, and the divided and confusing internet are poor substitutes for the love, guidance, and support of a family.
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