FX.co ★ Philippine Trade Gap Widens in June

The Philippines’ trade deficit widened to USD 4.9 billion in June 2026, up from USD 4.4 billion in the same month a year earlier. Imports grew by 19.6% year-on-year to USD 13.7 billion, largely driven by a surge in purchases of electronic products (+82.9%), particularly semiconductors (+105.4%), amid strong global demand for AI-related components. Higher imports were also recorded for mineral fuels (+6.3%), industrial machinery and equipment (+1.3%), and cereals and cereal preparations (+48.1%). China remained the country’s largest source of imports, accounting for 31.7% of the total, followed by South Korea (13.0%), Japan (6.7%), and Indonesia (6.7%).

Exports rose by 24.1% to USD 8.8 billion, supported primarily by electronic products (+35.2%), with semiconductors up 33.4%. Shipments of machinery and transport equipment (+28.6%), gold (+43.8%), and other manufactured goods (+9.8%) also increased. The United States remained the Philippines’ top export destination, taking 20.1% of total exports, followed by Hong Kong (15.3%), China (11.4%), and Japan (11.3%).