The Philippine government is confident it can address concerns raised by the United States after Washington included the country in a new investigation covering 60 economies over policies related to forced labor.
Department of Trade and Industry Undersecretary Ceferino Rodolfo said the probe under Section 301 of the US Trade Act of 1974 does not accuse the Philippines of hosting forced labor operations. Instead, it examines whether governments are effectively preventing the importation of goods produced using forced labor.
“The investigation is not about the Philippines serving as a venue for forced labor. Rather, it concerns the alleged failure to impose and effectively enforce a prohibition on the importation of goods produced with forced labor,” Rodolfo told reporters on the sidelines of the Canada-Philippines Partnership forum held Friday at the Shangri-La Hotel in Makati City.
The Office of the US Trade Representative (USTR) initiated the investigations to determine whether the policies and practices of 60 major trading partners related to forced labor imports are unreasonable or discriminatory and whether they burden US commerce.
Rodolfo said the allegation essentially suggests that the Philippines, along with 59 other economies, may not be effectively stopping imports made using forced labor.
He said that several Southeast Asian neighbors including Cambodia, Indonesia, Malaysia, Thailand and Vietnam are also under investigation. Some of those nations are being scrutinized for both forced labor and excess capacity issues. Othel V. Campos
“For the Philippines, we are not part of the excess capacity investigation,” Rodolfo said.
He said Manila is ready to engage Washington and clarify the country’s labor policies and enforcement mechanisms.
“I’m very confident that if we’re given the opportunity to provide more information and greater engagement with the US side, we will be able to fully explain why we should not be part of the investigations,” Rodolfo said.
The Philippines and the US have a platform to address such issues through the Trade and Investment Framework Agreement, which includes a working group on labor.
The USTR said the probe would assess whether governments have taken sufficient steps to prevent goods produced with forced labor from entering their markets, amid concerns that such practices create unfair competition for American workers and firms.
The Canada-Philippines forum seeks to explore how Canada and the Philippines could strengthen collaboration on economic security, critical minerals and clean technology development.
