ISLAMABAD: US President Donald Trump announced that representatives from Pakistan will visit the United States next week to discuss trade tariffs. This development comes as Pakistan seeks to negotiate terms to avoid a 29 percent tariff on its exports to the US, which was proposed due to a $3 billion trade surplus. Trump emphasized that he would not be interested in striking a trade deal with either Pakistan or its neighbor India if the two countries engage in military conflict. The nuclear-armed rivals recently clashed in their worst fighting in decades, involving fighter jets, missiles, drones, and artillery over four days earlier this month.
Ongoing Trade Negotiations Between Pakistan and US
Negotiations formally began last Friday with a call between Pakistani Finance Minister Muhammad Aurangzeb and US Trade Representative Jamieson Greer, marking the start of discussions on reciprocal tariffs. The US had announced tariffs on multiple countries but suspended them for 90 days to allow these talks. Pakistan is now under pressure to secure favorable terms to protect its exports and avoid significant economic setbacks amid ongoing geopolitical tensions.
Impact of Regional Conflict on Trade Prospects
Trump’s clear warning ties trade deals to peace and stability in the region. The recent border clashes between India and Pakistan have raised concerns about escalating military tensions that could jeopardize economic cooperation. Both countries will likely have to navigate carefully to avoid further deterioration of relations that could threaten not only security but also vital economic partnerships.
