THE PHILIPPINES is ready to face the uncertainties brought by US President Donald J. Trump’s trade policies as it implements the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act, Finance Secretary Ralph G. Recto said.
Mr. Recto and Trade Secretary Ma. Cristina Aldeguer-Roque on Monday signed the implementing rules and regulations (IRR) of the CREATE MORE law.
“With the signing of this IRR, we now send a clear message to the world: the Philippines means business. We are ready to compete. We are a dependable economic ally. We offer stability amid uncertainty. And yes — we are Trump 2.0-ready,” he said in a speech at the signing ceremony.
President Ferdinand R. Marcos, Jr. last November signed into law the CREATE MORE Act, which seeks to make the country more competitive and attractive to investors.
“On the part of the government, we are committed to making CREATE MORE not just a tool to attract more investments — but a magnet to keep them here, grow them here, and give every reason for investors to place their trust in the Philippines. Again and again,” Mr. Recto said.
Last month, Mr. Recto said the CREATE MORE will convince companies operating in China and Taiwan to move operations to the Philippines amid Mr. Trump’s aggressive tariffs.
Mr. Trump has already announced tariffs on all steel and aluminum imports beginning on March 12 and imposed 10% tariffs on goods from China.
The US president is also seeking to impose reciprocal tariffs across all countries that tax US imports, raising fears of a broader trade war.
The Department of Finance (DoF) said in a statement that the IRR provides clearer guidelines on the transitory rules for pre-CREATE registered business enterprises (RBEs) to continue receiving their previously granted tax incentives. The RBEs may also avail of additional incentives or measures under CREATE MORE.
“It also directly addresses investor concerns regarding the issuance of the value-added tax zero-rating certificate by providing detailed guidelines on eligibility and compliance criteria and clarifying the certificate’s covered period,” the DoF said.
One of the features of the IRR is prohibiting double registration of projects to deter redundant incentives and ensure responsible fiscal management.
Meanwhile, the Philippines is targeting to conduct a series of roadshows to promote CREATE MORE starting March this year.
“It is useless to have a law and to have IRR that nobody knows about. So, our job now is to announce it to the world,” Office of the Special Assistant to the President for Investment and Economic Affairs Secretary Frederick D. Go told a press briefing on Monday.
“We have scheduled trips to Korea, to the United States, to Japan, to Europe, to the Middle East, and to China,” he added.
Mr. Go also said the CREATE MORE’s rules “stayed true and consistent” with the intent of the law. — Aubrey Rose A. Inosante and Justine Irish D. Tabile
