The federal government has decided to initiate talks with the Trump administration regarding the 29% tariff imposed on Pakistani products by the United States, Express News reported.
Sources said that the government has begun formulating a strategy to address the impact of the additional tariff and to explore the possibility of reducing it through discussions with the US authorities.
In this regard, a crucial meeting was held at the Ministry of Commerce under the chairmanship of Federal Minister for Commerce, Jam Kamal Khan.
The meeting, which included over fifty key exporters, importers, and stakeholders, focused on the potential effects of the 29% tariff, particularly on Pakistan's textile exports.
The session analysed how the new US tariffs could negatively impact Pakistan’s textile sector, which forms the largest part of the country’s exports to the US.
Pakistan’s average exports to the US exceed $5.5 billion annually, with textiles accounting for a significant share.
The government has decided to pursue talks with the Trump administration with the aim of securing a reduction in the new tariff.
In line with this, Prime Minister Shehbaz Sharif has also formed a working group and steering committee under the leadership of Finance Minister Mohammad Aurangzeb to address the issue and formulate a response strategy.
President Donald Trump on Wednesday imposed additional tariffs on 60 countries, including Pakistan, to raise revenues, shift trade balance and promote made-in-America goods by discouraging imports.
The decision was surprising for Pakistani authorities who were not expecting the inclusion in the list on the grounds that the US trade weighted average tariffs were already higher than Pakistan. The country was also on the 33rd number on the list of the nations with whom Washington had a trade deficit.
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