MALACAÑAN PALACE
MANILA

BY THE PRESIDENT OF THE PHILIPPINES

[ EXECUTIVE ORDER NO. 171, June 21, 2022 ]

TEMPORARILY MODIFYING THE RATES OF IMPORT DUTY ON VARIOUS PRODUCTS UNDER SECTION 1611 OF REPUBLIC ACT NO. 10863, OTHERWISE KNOWN AS THE "CUSTOMS MODERNIZATION AND TARIFF ACT"

WHEREAS, the conflict between Russia and Ukraine presents economic and trade implications to the country and the Filipino people, as Russia, together with Ukraine, accounts for 30% of global exports of wheat, 20% of corn, mineral fertilizers and natural gas, and 11% for oil;

WHEREAS, the crisis between Russia and Ukraine has pushed worldwide prices of these commodities to multi-year highs;

WHEREAS, the increase in oil products, corn and fertilizers generated a corresponding sharp increase in domestic prices of basic commodities and energy, thereby resulting in upward pressures on inflation;

WHEREAS, coal is an important raw material raw material in the generation of electricity, contributing to more than half of the power generation in the country in 2020;

WHEREAS, corn is likewise used as a raw material in the production of animal feeds, food products, and other industrial-based products, and accounts for more than 50% of the total production cost of large-scale broiler and swine farms;

WHEREAS, Executive Order (EO) No. 134 (s. 2021) temporarily modified and reduced the Most Favoured Nation (MFN) tariff rates on imported fresh, chilled, or frozen meat of swine until 17 May 2022;

WHEREAS, EO No. 135 (s. 2021) temporarily modified and reduced the MFN tariff rates on imported rice until 01 June 2022;

WHEREAS, there is a need to temporarily maintain the reduced tariffs on imported rice and pork products to attain the objectives of EO Nos. 134 and 135, capitalize on the gains already achieved by these measures, all for the purpose of augmenting the supply of these products in the country, diversifying the country's market sources, and maintaining affordable prices, towards ensuring food security;

WHEREAS, in addition to extending the effectivity of the reduced ratiff rates under EO Nos. 134 and 135, there is also a need to reduce the tariffs on imported corn and coal to mitigate and stabilize the impact of inflationary pressures brought about by the Ukraine-Russia crisis, by expanding supply sources and reducing the prices of key commodities;

WHEREAS, Section 1608 of Republic Act No. 10863 empowers the President, in the interest of general welfare and national security, and upon recommendation of the National Economic and Development Authority (NEDA) to increase, reduce or remove existing rates of import duty; and

WHEREAS, on 06 May 2022, the NEDA Board endorsed ad referendum the temporary modification of the MFN tariff rates on coal and corn, and the extension of the effectivity of the reduced MFN rates provided under EO No.s 134 and 135 on meat of swine and rice, respectively.

NOW, THEREFORE, I, RODRIGO ROA DUTERTE, President of the Philippines, by virtue of the powers vested in me by the Constitution and existing laws, do hereby order:

Section 1. Rates of Import Duty. The articles specifically listed in Annex A hereof, as classified in compliance with Section 1611 of RA No. 10863, shall be subject to the MFN rates of duty, in accordance with the schedule indicated opposite the article.

Upon the effectivity of this Order, all articles specifically listed in Annex A hereof, which are entered into or withdrawn from warehouses in the Philippines for consumption shall be levied the MFN rates of duty as prescribed therein.⚖ - ℒαɯρhi৷

Section 2. Repeal. All other issuances, administrative rules and regulations, or parts thereof, which are inconsistent with this Order are hereby repealed or modified accordingly.

Section 3. Separability. If any provision of this Order is declared invalid or unconstitutional, the other provisions not affected thereby shall remain valid and subsisting.

Section 4. Effectivity. This Order shall take effect fifteen (15) days after its complete publication in the Official Gazette or in a news paper of general circulation, and shall be effective until 31 December 2022.

DONE, in the City of Manila, this 21st day of June, in the year of Our Lord, Two Thousand and Twenty Two.

(SGD.) RODRIGO ROA DUTERTE

By  the President:

(SGD.) SALVADOR C. MEDIALDEA
Executive Secretary


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