Pakistan and the United States are currently engaged in detaileddiscussions to finalize a comprehensive trade and investment deal,following a major breakthrough that granted Pakistan the lowest U.S. tariffrate among major South Asian countries. This significant move positionsPakistan ahead of regional competitors like India, Bangladesh, and SriLanka in terms of export competitiveness.
The new tariff arrangement lowers U.S. duties on Pakistani exports to 19percent, compared to India’s 25 percent and Bangladesh’s 20 percent. Thisreduction is expected to boost Pakistan’s trade volume and attract newinvestments, particularly in the textile and manufacturing sectors.
Officials from both countries are now focusing on the next phase of theagreement, which includes investment opportunities in key sectors such asenergy, minerals, and technology. One of the most prominent areas underdiscussion is U.S. investment in Pakistan’s untapped oil reserves acrossprovinces including Balochistan, Sindh, Punjab, and Khyber Pakhtunkhwa.While exact exploration sites remain confidential, American firms arereportedly being vetted as potential partners in these ventures.
Pakistan’s Finance Minister has described recent meetings with top U.S.trade and commerce officials as constructive and forward-looking. The talksaim to create a technical roadmap to facilitate reciprocal trade benefitsand long-term economic cooperation.
Read Top Stories
Economic analysts believe the deal holds strategic importance for bothnations. For Pakistan, it signals growing acceptance in global tradenetworks and offers a potential path to economic stability. For the U.S.,the deal represents a rebalancing of trade relationships in South Asia,particularly in light of its evolving stance on tariffs and regionalpartnerships.
The deal also comes as part of a broader U.S. strategy to finalize tradearrangements with several nations ahead of policy deadlines. Pakistan isnow seen as one of the more favorable trade partners in the region, withexpectations high for a final agreement in the near future.