- The United States reduced the rate on Pakistani goods from 29% to 19%: Minister.
- Reduction in the tasks that probably promote textile exports in the country.
- The highest tariff rates of President Trump enter into force on Thursday.
Pakistan will not suffer a loss of $ 1 billion due to the imposition of the 19% rate by the United States, the Minister of Commerce, Jam Kamal Khan, the National Assembly informed Thursday.
In his response presented to the Chamber of Representatives of Parliament, the Minister of Commerce said that the United States has reduced the rate of Pakistani goods from 29% to 19%.
Rate reduction will lead to an increase in sales of Pakistani products in the US market and probably drives Pakistan’s textile exports, he said.
The response occurred as Trump’s highest tariff rates from 10% to 50% in dozens of commercial partners, including Pakistan, on Thursday, testing their strategy to reduce commercial deficits in the United States without mass interruptions in global supply chains, greater inflation and rigid reprisals of commercial partners.
Earlier this month, Trump announced a new wave of steep import tariffs, aimed at dozens of countries, including Pakistan with a 19%reciprocal rate, before the deadline of August 1.
Previously, the president of the United States had slapped 29% of the Pakistani property rate, which was reviewed when the two countries finished a commercial agreement.
Islamabad described the agreement as a marker of a broader association with Washington, and the Minister of Finance, Muhammad Aurengzeb, who led the final round of conversations, said there was a broader economic and strategic agreement.
Meanwhile, the president of the United States announced a pact to help develop Pakistan oil reserves. “We have just concluded an agreement with the country of Pakistan, for which Pakistan and the United States will work together in the development of their huge oil reserves,” Trump wrote on social networks.
“We are in the process of choosing the oil company that will lead this association.”
The commercial surplus of Islamabad with Washington was around $ 3 billion in 2024, mainly due to textile exports. The United States is the largest market in Pakistan for textiles.
Trump’s tariff order imposed tasks of more than 10% on 67 commercial partners, while the rate remained at 10% for those who do not appear on the list.
These import taxes are a part of a multicapa rates strategy that includes sectoral tariffs based on national security on semiconductors, pharmaceutical products, cars, steel, aluminum, copper, wood and other goods. Trump said Wednesday that microchip tasks could reach 100%.
