ISLAMABAD: Pakistan and the United States have made significant progress in negotiations on a bilateral trade agreement, with both sides resolving key differences and moving closer to finalizing a deal, the Foreign Office said on Saturday.
Foreign Office spokesperson Tahir Andrabi said talks held in Washington took place in a constructive atmosphere, where officials from both countries worked to narrow differences and build consensus to expedite the agreement.
The negotiations come as the temporary 10 percent US tariff imposed under Section 122 of the Trade Act of 1974 is set to expire later this month. Both countries are seeking to replace temporary trade measures with a more stable and long-term bilateral trade framework.
Pakistan is seeking lower duties on its exports to the United States, its largest single export market. The latest round of talks follows more than a year of US trade actions and legal challenges that have repeatedly altered the tariff landscape for Pakistani exports.
The dispute began in April last year when US President Donald Trump invoked the International Emergency Economic Powers Act (IEEPA) to impose a 29 percent tariff on Pakistani exports as part of a broader package of global trade measures.
Following negotiations between Pakistani officials and the Office of the United States Trade Representative (USTR), the proposed tariff was reduced to 19 percent.
Pakistan’s delegation was led by Commerce Secretary Jawad Paul, who described the discussions as positive and welcomed the substantial progress achieved during the negotiations.
The Foreign Office noted that changes in US tariff policy following legal developments have not disrupted dialogue between the two countries. Pakistan has also submitted legal and regulatory documents challenging a proposed new 10 percent tariff recommended by the USTR after a Section 301 investigation concerning forced labor standards and import restrictions.
Officials said the ongoing negotiations are aimed at strengthening bilateral trade ties and securing improved market access for Pakistani exports to the United States.
