Free trade agreement between the Philippines and the EU: preferential origin, business opportunities and sustainability

EU Commission on 22 September 2026 annouced that “the EU and the Philippines reached substantial agreement in their negotiations for a Free Trade Agreement (FTA), envisaged to deepen economic ties between the EU and another strategic, fast-growing partner in Southeast Asia”: the substantial agreement has been reached. Now we are waiting for the ultimate free trade agreement and its bilateral ratification.
The key words of this substantial agreement whose negotiations, however, need to be finalized, are:
- Trade facilitations and preferential origin;
- Protection of intellectual property rights;
- Sustainability;
- Energy and raw materials.
To support the economic operators, we would share the main points of the relevant customs rules laid down by the text circulated in 2024.
Firstly, the potentially eligible goods are grouped in the following categories: products wholly obtained in one of the parties of the free trade agreement, products made exclusively from materials originating, products produced in one of the parties incorporating non-originating materials, provided that such products satisfy the requirements of the agreement.
The group of the products wholly obtained consists of a vegetables, plants, animal, fish, acquatic organism, ( including molluscs, crustaceans, other aquatic invertebrates and aquatic plants are born and raised from seed stock such as eggs, roes, fry, fingerlings, larvae, parr, smolts or other immature fish at a post-larval stage, by intervention in the rearing or growth processes to enhance production such as regular stocking, feeding or protection from predators), any product of sea fishing or another product taken from the sea outside any territorial sea by a vessel; a product made aboard a factory ship ; a mineral or mineral product extracted or taken from the seabed or subsoil; (j) a mineral or mineral product extracted or taken from the seabed or subsoil outside any territorial. Among other categories, it is important to highlight the following ones: waste and scrap resulting from production operations conducted in that a used product collected in that Party which is fit only for the recovery of raw materials, including such raw materials. This is an useful tool for doing business based on the circular economy principles and it proofs as the customs rules can manage and develop green and sustainable businesses (dogana sostenibile).
Which are the main rules that with which the economic operator needs to take into consideration?
- Accounting segregation method fo fungible materials;
- Non-alteration:
- Prohibition of drawback;
- Compliance with the rules of record-keeping.
how the economic operator can claim for the preferential origin?The text of the FTA released in 2024 mentions: the statement of origin oer the importer’s knowledge. Both the procedures must clearly indicated in the customs declaration.
The statement on origin shall be valid for 12 months from the date it was made out. This importer declaration may apply to: a single shipment of one or more products imported into a Party; or multiple shipments of identical products imported into a Party within the period specified in the statement on origin not exceeding 12 months.
The text should be: “ (Period: from___________ to __________ (1)) The exporter of the products covered by this document (Exporter Reference No … (2)) declares that, except where otherwise clearly indicated, these products are of … (3) preferential origin. ……………………………………………………………………………………………………(4) (Place and date) …………………………………………………………………………………………………… (Name of the exporter)]”.
The footnotes are:
- If the statement on origin is completed for multiple shipments of identical originating products within the meaning of Article X.19 [Statement on origin], indicate the period for which the statement on origin applies. That period shall not exceed 12 months. All importations of the product must occur within the period indicated. If a period is not applicable, the field can be left blank. 2 3 4
- Indicate the reference number through which the exporter is identified. For the Union exporter, this will be the number assigned in accordance with the law of the Union. For the Philippine exporter, this will be the […]. Where the exporter has not been assigned a number, this field may be left blank.
- Indicate the origin of the product: The Philippines, the European Union or Ceuta and Melilla.
- lace and date may be omitted if the information is contained on the document itself.
We’ll keep you posted!