US President Donald Trump has reduced the tariff imposed on Pakistan from 29% to 19%. He signed an executive order making the new tariff rate effective from July 31, 2025.
The US has now imposed the lowest tariff in the region on Pakistan. Following the tariff adjustment, between July and December 2025, Pakistan’s textile exports increased by 4%, manufacturing decreased by 3%, and agriculture and food exports rose by 9%.
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During this six-month period, Pakistan’s total exports amounted to $2,991 million, while imports from the US were $1,626 million, bringing the total trade volume to $4,617 million.
In the fiscal year 2024-25, Pakistan’s agriculture exports to the US were $183 million, manufacturing exports totaled $885 million, and textiles and apparel exports reached $4,768 million. US imports to Pakistan for the same period were $1,763 million.
This tariff reduction is expected to strengthen Pakistan-US trade relations and provide a boost to Pakistan’s exports.
