Written by Chloe Nicole M. Quintela | August 25, 2025
Written by Chloe Nicole M. Quintela | August 25, 2025
IMAGINE walking through crowded aisles of the wet market on a weekend with a budget in mind, just to realize that onions which were once ₱80 a kilo, now edge past ₱100. One of the newest forces behind them? The recently implemented 19% tariff on Philippine exports to the United States—a change that heavily impacts cargo ships unloading at the docks, all the way to the prices we see on our dining tables.
Last month, U.S. President Donald Trump announced the 19% tariff on Philippine goods implemented beginning this month. Higher tariffs imposed by Trump on our country’s goods may lead to an increase in prices of various Philippine exports, including processed foods, dried fruits, snacks, coconut, condiments, and juices. While the Philippines negotiated a slight reduction of 1% from the original rate, President Ferdinand Marcos Jr. called it “a significant achievement” and a reflection of the country’s “special relationship” with the United States.
Weakened export sales mean less income flowing into our economy, a weaker peso against the dollar, and higher costs of imported essentials. For the average Filipino family, these high-level trade talks imply one thing: tighter budgets, higher grocery bills, and the subtle ways international trade affects life at home.
What’s in the Tariff Basket?
A tariff is essentially a tax imposed on goods when they cross international borders. With its implementation on Philippine exports, American importers now pay extra to bring Philippine products into the U.S. market.
But how does such implementation affect the country? Recently, products from the Philippines, such as electronics, processed foods, fruits, and snacks, have become increasingly popular in the U.S. With the increase, they aim to protect their local industries while pushing for favorable trade terms with the Philippines.
These are some of the biggest industries that experience the squeeze—industries that employ thousands of Filipino workers and pump billions into the economy. Each week, farmers calculate how much fruit to harvest for local sale and for shipment. For them, this tariff hike represents their job stability, income reliability, and their livelihood, as it is their families who feel the impact immediately. All of a sudden, weekly budgets get lower while expenses become higher.
Ripple Effect on Consumers
At first, it is quite easy to assume tariffs only hit goods leaving the country. Many think they are just paid by importing companies and do not affect the consumers, but that is not the case. When selling overseas faces difficulties, some producers shift focus to the local market, altering supply and prices. Companies often pass the extra cost to consumers because they lack the means to afford it themselves. Tariffs might have pushed people to buy local products, however, domestic goods often carry higher production and distribution costs, making them more expensive than their imported counterparts.
And for many families, even the slightest increase puts weight on their budgeted list of basic needs. For households living paycheck to paycheck, every added peso chips away at the fragile balance they fight to maintain.
Stretching the Bills
The greatest irony lies in how those who till the soil and grow the nation’s food are often the ones who cannot afford to buy the very produce they harvest. Many Filipino farmers are compelled to sell their crops locally at lower farmgate prices due to the lack of export opportunities, which leaves them with little money to cover their expenses. Some are driven into debt just to buy seeds and fertilizer, while others watch their harvests lose value in the market despite the soaring prices paid by consumers.
When prices at the market increase, Filipino families are forced to get creative. Some buy smaller portions, stretch ingredients further, or swap expensive items for cheaper alternatives. A kilo of onions might be replaced with just a handful, or fresh vegetables might be substituted with canned or frozen options.
Resilient, yes, but this kind of resiliency is not supposed to be romanticized, as it hides the grave impact of rising tariffs. Behind every meal stretched a little thinner and every family budget carefully recalculated is the real impact of international trade.
Real Cost of Tariffs
Now, the question lies: is this agreement truly fair to Filipinos?
Undeniably, tariffs are normally discussed in the essence of economics and diplomacy, but they find their weight on the daily lives of Filipino families who budget their weekly needs to ensure every paycheck stretches far.
The rise of tariffs is a reminder that global economics is a problem close to the heart of most Filipinos. These tariff impositions quietly shape the everyday choices of millions of people, as the real test of its impact is felt in the crowded aisles of public markets, where every peso counts. For in the end, tariffs may be negotiated in conference rooms, but their true cost is carried home in lighter bags and heavier burdens.
Volume 31 | Issue 2