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Politics

Pakistan, US Continue High-Stakes Tariff Talks

Last updated: July 30, 2025 9:50 pm
Hannan Kaimkhani
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US Secretary of State Marco Rubio and Deputy Prime Minister and Foreign Minister Ishaq Dar shake hands for photographers assembled at the State Department in Washington, DC, US, July 25, 2025. — Reuters
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Islamabad  – Pakistan and the United States resumed discussions on trade tariffs Monday in a follow-up phone call between Deputy Prime Minister and Foreign Minister Ishaq Dar and US Secretary of State Marco Rubio—just three days after their in-person meeting in Washington on July 25.

According to a statement by Pakistan’s Foreign Office, the call focused on key bilateral issues, including the ongoing tariff negotiations, as well as broader regional and global concerns of mutual interest.

The conversation comes at a critical time, with tariffs set to take effect next month. A temporary deferral until August has opened a narrow window for both countries to reach a deal. The US remains Pakistan’s largest export market, with annual trade valued at approximately $5 billion.

In parallel developments, the Ministry of Finance confirmed that Finance Minister Senator Muhammad Aurangzeb has departed for the United States. His visit aims to finalise terms under the Pakistan-US Trade Dialogue, with the objective of crafting a mutually beneficial trade agreement.

“Strong trade and economic ties remain a key pillar of Pakistan-US bilateral relations,” the ministry said, adding that Islamabad is eager to broaden engagement into new sectors including information technology, minerals, and agriculture.

Pakistan has proposed increased imports of American cotton and soybeans as part of its trade concessions. Currently, Pakistan is the second-largest buyer of US cotton in South Asia, following China.

Although a deal was initially expected in early July, negotiations have moved more slowly than anticipated. With the August deadline approaching, Islamabad is intensifying diplomatic efforts to avoid tariff implementation and secure expanded market access.

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