Determine applicable taxes and fees on imports into the Philippines
Import tax
After identifying the HS code of the goods, the importer can determine the applicable import duty rate. Import duties are calculated as a percentage of the goods’ customs value.
For Vietnamese goods imported into the Philippines, enterprises currently have nine tariff options, with each option corresponding to a specific duty rate and eligibility conditions. Importers should assess the product’s specific circumstances to select the most suitable and advantageous tariff treatment. In particular:
- MFN tariff (Most-Favoured-Nation): This is the tariff rate applied by the Philippines to goods originating from WTO Members. The rate is set by the Philippines but must remain within its WTO bound commitments, and it applies to goods from WTO Members without any origin-related conditions. As Viet Nam is a WTO Member, Vietnamese goods are automatically eligible for MFN treatment without having to meet any additional requirements.
- Preferential tariffs under FTAs in which both Viet Nam and the Philippines are parties:
As of end-2024, Viet Nam and the Philippines share eight FTAs, including:
(1) ASEAN–Australia–New Zealand FTA (AANZFTA),
(2) ASEAN–China FTA (ACFTA),
(3) ASEAN–India FTA (AIFTA),
(4) ASEAN–Japan Comprehensive Economic Partnership (AJCEP),
(5) ASEAN–Korea FTA (AKFTA),
(6) ASEAN Trade in Goods Agreement (ATIGA),
(7) ASEAN–Hong Kong, China FTA (AHKFTA), and
(8) Regional Comprehensive Economic Partnership (RCEP).
Under each FTA, the Philippines grants preferential tariff rates to goods from FTA partners, provided that the imported goods meet the relevant rules of origin (ROO) and are accompanied by a valid Certificate of Origin (C/O) issued under the corresponding agreement.
Enterprises can look up the tariff rates applicable to specific products imported into the Philippines via:
https://finder.tariffcommission.gov.ph/
Other taxes
In addition to import duties, imported goods entering the Philippines may be subject to other taxes, such as:
- Value-Added Tax (VAT): Imported goods in the Philippines are subject to 12% VAT. This rate is generally applied across imported goods in the Philippines.
- Excise tax: Certain non-essential and/or luxury goods—including alcoholic beverages, tobacco products, petroleum products, minerals, motor vehicles, jewelry, perfumes, etc.—are subject to excise tax upon importation into the Philippine market.
Excise tax may be imposed in one of two forms:
(1) Specific tax: calculated based on weight, volume, or another physical unit of measurement; or
(2) Ad valorem tax: determined based on the value of the goods.
Enterprises can look up detailed information on the Philippines’ excise tax rates at:
https://www.bir.gov.ph/excise-tax
- Anti-dumping duty, countervailing duty, and safeguard duty: Certain imported goods may be subject to anti-dumping duties, countervailing duties, or safeguard measures if they fall within the scope of applicable trade remedy actions. The Philippines is among the Southeast Asian countries that make relatively frequent use of these trade remedies on imported goods, including products originating from Viet Nam.
Source: Center for WTO and International Trade - VCCI
