President Ferdinand Marcos Jr. Seeks Support from the Czech Republic for Free Trade Agreement
President Ferdinand Marcos Jr. of the Philippines recently appealed to the Czech Republic for their support in resuming negotiations for a proposed free trade agreement (FTA) between the Philippines and the European Union (EU). Speaking at the Czech-Philippine Business Forum, President Marcos emphasized that the FTA would greatly enhance mutual economic development.
The President expressed his belief that the resumption of these negotiations would be a significant step towards strengthening trade relations and establishing a stable, predictable, and enabling business environment that promotes inclusive and sustainable growth and development.
The Philippines has been eager to initiate free trade talks with the EU, with negotiations initially commencing in 2015. However, the last round of negotiations took place in 2017 in Cebu City, and since then, discussions have been put on hold.
Currently, the Philippines benefits from trade preferences under the EU’s Generalized Scheme of Preferences (GSP), which grants duty-free access to the EU market for two-thirds of tariff lines. This special incentive arrangement is designed to encourage sustainable development and good governance.
President Marcos emphasized the Philippines’ commitment to becoming a reliable partner for the Czech Republic in implementing its Indo-Pacific strategy. During the business forum, President Marcos and Czech Republic President Petr Pavel witnessed the signing of three business agreements. President Marcos described these agreements as a significant milestone in their journey towards mutual prosperity.
The President highlighted that these agreements are not mere documents but rather a commitment to unlocking the vast potential that lies in their partnership, particularly in the semiconductor and IT-BPM sectors. He emphasized that these industries possess complementary strengths that can benefit from collaboration, paving the way for innovation and development.
The Philippine Embassy in Prague and the Philippine Trade and Investment Center in Berlin organized the business forum in cooperation with the Czech Republic’s Ministry of Foreign Affairs, the Confederation of Industry, and the Chamber of Commerce.
Furthermore, President Marcos extended an invitation to Czech companies to invest in the processing of the Philippines’ critical minerals. He stressed that the Czech Republic’s expertise in mineral processing is of particular interest to the Philippines. By investing in the processing of critical minerals such as cobalt, copper, lithium, nickel, and rare earths, the Philippines aims to mitigate the risks of disruptions in the global supply chain for clean energy technologies, including wind turbines and electric cars.
Over the past two decades, annual trade in energy-related critical minerals has significantly increased from $53 billion to $378 billion, underscoring the importance of these minerals in clean energy production.
In a meeting with Czech Republic Prime Minister Petr Fiala, President Marcos also extended an invitation for Czech companies to supply the requirements of the modernization program of the Armed Forces of the Philippines (AFP). The President emphasized that the Czech Republic’s participation in the AFP’s modernization program would not only enhance its capacity and capability but also strengthen the bilateral relations between the two countries.
President Marcos acknowledged the Czech Republic’s historical role as a source of equipment for the Philippines and expressed his desire to further deepen the partnership between the two nations.
Of particular interest to the President is the procurement schedule under the Re-Horizon Phase 3 of the Revised AFP Modernization Program (RAFPMP) and the training of the military force.
Overall, President Ferdinand Marcos Jr.’s visit to the Czech Republic signifies the Philippines’ commitment to expanding trade relations and exploring opportunities for collaboration in various sectors. The resumption of negotiations for the proposed free trade agreement with the EU and the potential investments in critical minerals processing and military modernization demonstrate the Philippines’ determination to foster inclusive and sustainable growth while strengthening international partnerships.
Source: The Manila Times
