Presidents Trump-Marcos U.S.-PH Trade Deal, Security Cooperation and A Perspective

PBBM’s First Meeting with President Trump and Top Foreign Policy Officials in Washington: A Productive Initial Step toward reinforcing U.S.-PH Strategic Ties

July 20-22, 2025, Washington DC. The official visit to Washington by President Ferdinand R. Marcos provided a timely opportunity for United States-Philippines engagement at the highest level across a broad range of economic and national security issues, reinforcing close strategic ties between the two countries.

Coming just six months into the second Trump administration, PBBM’s visit capped a series of discussions between cabinet officials both in Manila and Washington since Trump’s inauguration last January. The July 22 White House meetings proved less a pivotal moment in the bilateral relationship than the reflection of a vital alliance that supports both American commitments in the Indo-Pacific region and Philippine interests in preserving national sovereignty and safeguarding economic security.

The Oval office talks – the first by a Southeast Asian leader in the new Trump administration – were, according to first-hand accounts, amiable at a personal level, characterized more by diplomatic negotiation than transactional bickering, and calculated by both sides to enhance mutual trust going forward.

During his short but laser focused visit, President Marcos met separately with Defense Secretary Hegseth, State Secretary Rubio, and CIA Director Ratcliffe, eliciting confirmation that America’s treaty obligations were ironclad, while furthering security cooperation and intelligence sharing. Rubio also affirmed a commitment to support the Luzon Economic Corridor, a leading-edge infrastructure initiative. In addition, PBBM met with select American investors in technology, semiconductors, and energy, among other key sectors.

Trade negotiations yielded a slight reduction in U.S. tariff rates from 20 percent to 19 percent, while, according to accounts, the Philippine side gave away little; although they did respond with tariff reductions in exchange. Independent analysts have noted that by lowering tariffs to the U.S., the Philippines can spur American investments that will benefit key sectors of the Philippine economy and strengthen supply-chain diversification over the longer term. The impact of the Trump tariffs on costs to Philippine exporters will become clearer with possible adjustments in overall trade flow patterns from the region into the American market in the period ahead.

In assessing the visit, US-Philippines Society Co-chair Ambassador John Negroponte said that both sides benefitted from a reaffirmation of the enduring and strategically consequential bilateral relationship. He added that trade and tariff agreements can be a stabilizing force by reducing uncertainties facing investors, producers and consumers. In a CNN interview, he described the visit as a success (see link below).

On balance, the multi-dimensional presidential visit succeeded in reinforcing alliance bonds between the Philippines and the United States. And, as the first meeting between presidents Trump and Marcos in these challenging times, it sets the two administrations on a solid and productive course for cooperation over the next three years.

President Marcos and Secretary of State Marco Rubio discussed the Luzon Economic Corridor. Working with Congress, Sec Rubio will seek to provide $15 million for private sector development in the Luzon Economic Corridor, part of a broader $60 million initiative focused on energy, maritime issues, and economic growth. 21 July 2025, State Department, Washington DC. Photo by State Department.

President Marcos was welcomed by Secretary of Defense Pete Hegseth who noted the Philippines as a highly respected ally, stepping up to modernize its armed forces and expanding joint exercises to establish deterrence in the region. 21 July 2025, Pentagon, Virginia. Photo by U.S. Department of Defense.