AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Washington: The 90-day suspension on the implementation of reciprocal tariffs by the United States comes to an end today, marking a significant transition in international trade relations. The U.S. government is poised to issue formal notifications to countries that have not yet reached bilateral trade agreements, warning of higher tariffs set to take effect on August 1, 2025.
Countries like Pakistan, which have successfully concluded negotiations with the U.S., are expected to benefit from reduced tariffs. However, a baseline tariff of 10% will still apply to their exports. This adjustment is anticipated to be formally announced alongside the disclosure of negotiated tariffs with other trading partners.
The easing of U.S. trade policies towards Pakistan follows a cease-fire agreement between India and Pakistan, coupled with potential successful diplomatic dialogues. These developments have fostered optimism within Pakistan’s textile sector, which has seen a 38% increase from its low in May 2025 and a 21% rise compared to levels before the tariff announcement.
The forthcoming country-specific and product-specific tariff declarations for Pakistan and its regional competitors, including China, India, Bangladesh, and Vietnam, are crucial. These announcements will play a pivotal role in shaping the future of Pakistan’s textile exports and its position in the global market.