The Pakistani government has ramped up diplomatic efforts to shield its exports from heightened US tariffs, deciding to send a high-level delegation to Washington within the next 24 hours, sources said on Monday.
The delegation, led by Federal Minister for Commerce Jam Kamal Khan, will hold critical talks with the Trump administration aimed at averting the implementation of a proposed 29% tariff on Pakistani goods. Senior officials from the Ministry of Commerce, Ministry of Finance, and the Foreign Office will accompany the minister to strengthen the negotiation team.
Sources indicated that Pakistan is working to address the $3 billion trade surplus it currently holds over the United States. As part of the proposed solution, Islamabad is considering boosting imports from the US by up to $2 billion to ease tensions and rebalance trade flows.
Under the proposed plan, a $1 billion reduction in the trade gap would correspond to a 9% reduction in tariffs levied by the United States on Pakistani exports. To support this approach, Pakistan is planning to import goods such as American Puma cotton, machinery, and soybean oil, while simultaneously enhancing its exports of bed linen, denim, and towels to the US by an estimated $500 million.
Before the recent developments, the average tariff applied by the United States on Pakistani goods was 9.9%. However, the US government recently raised the tariffs by an additional 10% for an initial 90-day period. Pakistani authorities are concerned that if no agreement is reached, the tariffs could escalate to as high as 29% after the 90-day timeframe.
Officials from the Commerce Ministry emphasized that a detailed strategy has been crafted to avert a steep rise in tariffs. Alongside tariff negotiations, Pakistan is pushing for the removal of non-tariff barriers to further enhance trade opportunities between the two nations.
“The delegation’s top priority is to negotiate the reversal of the increased tariffs and to secure expanded market access for Pakistani products, aiming for a more balanced and sustainable trade partnership with the United States,” an official involved in the discussions stated.
