Trade Gap Widens to $4.1B in March

The Philippines' trade deficit widened in March as imports growth outpaced the increase in exports, according to the Philippine Statistics Authority (PSA).

- By Louella Desiderio

Preliminary data released by the PSA yesterday showed that the balance of trade in goods—the difference between exports and imports—amounted to a $4.13 billion deficit in March, 23 percent higher than the $3.35 billion gap in the same month in 2024.

The shortfall was also wider than the $3.46 billion deficit in February.

Exports of the country's goods grew by 5.9 percent to $6.59 billion in March from $6.23 billion in the same month last year.

"The relatively higher exports volume could be partly attributed to some frontloading of overseas sales before higher US import tariffs or reciprocal tariffs that increase export selling prices take effect," Rizal Commercial Banking Corp. chief economist Michael Ricafort said.

The US announced the imposition of reciprocal tariffs on trade partners including the Philippines on April 2.

Hours after the reciprocal tariffs took effect, the US declared a 90-day pause and brought down the levy to 10 percent for most countries to give time for negotiations with trade partners.