Islamabad aims to negotiate tariff reductions and secure a fair trade framework as Washington plans to hike duties on Pakistani exports to 29%.
Islamabad [Pakistan], April 29:
Pakistan has announced the formation of a high-level delegation to visit the United States in a bid to negotiate a reduction in the newly proposed 29% tariffs on Pakistani exports, ARY News reported.
Led by Federal Minister for Commerce Jam Kamal Khan, the delegation will also include senior officials from the Ministries of Commerce, Finance, and Foreign Affairs. The team is expected to depart within the next couple of days, according to the report.
The mission’s goal is to engage US counterparts to ease the proposed tariff hikes, eliminate non-tariff barriers, and strengthen overall trade ties. Until recently, Pakistani exports faced an average US tariff of 9.9%. However, Washington has imposed an additional 10% duty for 90 days, with a 29% permanent tariff expected to follow.
The delegation plans to highlight the existing $3 billion trade deficit favoring the US and propose that tariffs be reduced by 9% for every $1 billion decrease in the trade gap.
Sources indicate that Prime Minister Shehbaz Sharif has tasked the delegation with securing a comprehensive and fair-trade framework with the United States.
Finance Minister Muhammad Aurangzeb, speaking earlier to Bloomberg News, emphasized the broader ambition behind the talks.
“It’s a bigger canvas that we are looking at in terms of engaging the US. We will constructively engage, and we will have a formal delegation coming in,” he said.
Aurangzeb recently attended the Spring Meetings of the International Monetary Fund and the World Bank in Washington, laying the groundwork for Pakistan’s latest diplomatic push on trade.