Pakistan and US Aim to Finalize Trade Tariff Negotiations

Finance Minister Muhammad Aurangzeb and US Commerce Secretary Howard Lutnick have concurred to finalize technical discussions regarding mutual tariffs in the coming week.

This development arose during a virtual conference held between Aurangzeb and Lutnick concerning US reciprocal tariffs on Tuesday, according to a statement issued by the Finance Division on Wednesday.

Both parties conveyed satisfaction with the ongoing discussions and committed to concluding the trade negotiations next week.

The statement further noted that following the trade agreement, a collaborative framework grounded in strategic and investment interests would be established, encompassing areas of shared interest.

The meeting centered on fostering significant engagement in trade, investment, and strengthening economic bonds for the mutual advantage of both countries, with the anticipation of concluding technical trade-related discussions next week.

Both sides voiced optimism about reaching a swift conclusion to the trade negotiations.

In April, the previous administration initiated a potentially damaging trade situation by imposing extensive tariffs on imports globally and additional levies on key trading partners, including Pakistan.

Islamabad is endeavoring to gain favor with the US to secure relief from the 29% reciprocal tariffs imposed previously. While these tariffs are currently suspended until July, Pakistan has dispatched a trade delegation to Washington to reduce the trade imbalance.

The US represents Pakistan’s largest export destination, accounting for over $5 billion in annual exports as of 2024, while Pakistan’s imports from the US approximate $2.1 billion.

Previously, Muhammad Aurangzeb stated in an interview that Pakistan intends to procure more goods from the US and eliminate non-tariff barriers to mitigate the impact of elevated tariffs.