Asean Agreements That Affects The Philippines

For the customs value of imported goods, the Bureau of Customs (BoC) primarily uses the “transaction value” or the price agreed upon by the seller and buyer, as stated in the trade documents, with certain supplements or adaptations in accordance with the Philippine Customs and Customs Code (CTCC), now known as the Customs Modernization and Tariff Act (CMTA). Once the customs value is established, the applicable tariff rate is applied to that value in order to obtain the fees payable. In accordance with the HARMONised customs nomenclature of ASEAN, in accordance with section 1611 of the CMTA (former section 104 tCCP), applicable duty rates can vary from 0% to 40% depending on the classification of each product. The calculated tariffs are part of the landing fee for imported goods that are subject to 12% VAT. FTA BENEFITSWhile certain tariff reductions and/or exemptions are extended to Filipino importers registered with investment promotion agencies such as the Philippine Economic Zone Authority and the Investment Committee, many Philippine importers do not use other available customs economy mechanisms, such as free trade rights, simply because they do not know that these concessions exist. Urata S, Okabe M (2014) Commercial effects of the creation and distraction of regional trade agreements: product analysis. World Econ 37 (2): 267-289 Based on the results of the study, the bilateral trade agreement is able to expand Philippines exports with its trading partner, Japan. Based on philippine export data to Japan, some products began to withdraw before the agreement, which increased significantly 7 years after the implementation of the agreement. such as meat.

B and edible offal (15,3312.2%), umbrellas, umbrellas, umbrellas, walking sticks, whips, equestrian plants and their parts (1878.1%), explosives, pyrotechnics, matches, pyrophoric alloys, some flammable preparations (1091.7%). It is therefore recommended that the number of bilateral trade agreements between the Philippines and other countries be increased in order to boost exports.