Makati City – Trade and Industry Secretary Alfredo Pascual revealed that the European Parliament has shown support for the proposed four-year extension of the Generalized System of Preference Plus (GSP+) trade agreement with the Philippines. This agreement, vital for Filipino exporters, is set to expire by the end of this year.
According to Philippines News Agency, Pascual shared that since 2014, under the GSP+, the Philippines has enjoyed zero tariffs on two-thirds of all product categories entering the European Union market. The recent development, according to Pascual, is a positive outcome of the Department of Trade and Industry's (DTI) efforts to continue the Philippines' inclusion in the GSP+ program. The extension until 2027, proposed by the European Commission earlier this year, has received backing from both the EU parliament and the European Council. Pascual highlighted the significance of this extension, particularly for tuna exporters and manufacturers of certain products, who would face tariffs of 20 to 30 percent without the GSP+. The renewal process, which might include changes in conditions and obligations, is underway. Pascual emphasized that the extension would provide a competitive advantage to Filipino exporters in the EU market and encouraged those benefiting from the GSP+ to expand their exports while the preferential tariff remains effective.