ISLAMABAD: Finance Minister Muhammad Aurangzeb departed for Washington on Monday night—his second visit to the United States in two weeks—as Pakistan and the US move closer to finalising a significant trade agreement, according to an official statement by the Ministry of Finance.
The visit follows Foreign Minister Ishaq Dar’s recent remarks that both sides were “very close” to concluding a deal, although the US, after a meeting between Dar and Secretary of State Marco Rubio, stopped short of offering a clear timeline.
“A final discussion on the Pakistan-US trade dialogue will take place during the visit,” the finance ministry confirmed, adding that the anticipated agreement is expected to deliver mutual economic benefits.
Aurangzeb’s visit was greenlit after a high-level meeting at the Prime Minister’s Office, where he was directed to engage Washington before the Trump administration’s self-imposed August 1 deadline. Failure to conclude a deal by then could trigger elevated tariffs on Pakistani exports under the US’s reciprocal tariff policy.
Ahead of his departure, Aurangzeb also met with US Chargé d’Affaires Elizabeth Horst in Islamabad. The meeting reportedly affirmed progress on the trade negotiations, with a formal announcement expected shortly after Pakistani officials arrive in Washington.
Stakes High as Tariff Threat Looms
Under former President Donald Trump’s tariff framework, Pakistan currently faces a 29% duty on its exports to the US—an effort aimed at countries with sizeable trade surpluses. In 2024, Pakistan’s trade surplus with the US stood at approximately $3 billion.
To ease tariff pressures and address trade imbalances, Pakistan has offered to increase imports of American goods, including crude oil, and extend incentives for US firms, particularly in the country’s mining and natural resources sectors.
However, concerns have been raised over whether Islamabad would be forced to offer similar concessions—such as potential tax exemptions granted to US tech giants under Pakistan’s new Finance Act—to Chinese companies, potentially complicating Pakistan’s broader foreign trade policy.
Expanding Bilateral Economic Cooperation
According to the finance ministry, Pakistan is seeking to broaden the scope of its trade relationship with the US beyond traditional goods. New focus areas include information technology, agriculture, and mineral development—sectors both sides see as ripe for investment and partnership.
Aurangzeb’s trip is being viewed as a crucial step in resetting and deepening economic ties amid shifting global alliances. His meetings in Washington are expected to centre on securing the trade deal and mapping out long-term investment frameworks.
Follow-Up on Dar-Rubio Talks
This diplomatic push builds on recent high-level engagements, including Deputy Prime Minister and Foreign Minister Ishaq Dar’s talks with Secretary of State Marco Rubio in Washington on July 25 and a follow-up call earlier this week.
According to the Foreign Office, the two officials discussed tariffs, regional dynamics, and broader bilateral cooperation. The talks reflect Pakistan’s desire to expand trade into non-traditional sectors while also responding to US concerns about market access and trade imbalances.
Military Diplomacy Also in Play
The strengthening of ties isn’t limited to economics. The relationship received a symbolic boost last month when Pakistan’s Army Chief, Field Marshal Asim Munir, was hosted at the White House—a rare and notable diplomatic gesture seen as underscoring Washington’s interest in strategic cooperation with Islamabad.
With time ticking down to the August 1 deadline, all eyes are now on Washington as Finance Minister Aurangzeb and US officials work to finalise an agreement that could reshape Pakistan’s economic engagement with its largest export market.
Top Google search trends about Pakistan
Best gaming phone in Pakistan, bestselling car in Pakistan, most selling car in Pakistan, New range rover price in Pakistan, shortest day of the year in Pakistan, best cigarettes in Pakistan, how to get Luxembourg visa from Pakistan, Nathia Gali from Islamabad, Mercedez Jeep price in Pakistan, 14 August Pakistan independence day, 14 Aug holiday, Italy visa apply from Pakistan, Toyota Crown hybrid price in Pakistan, 2nd marriage law in Pakistan, fashion trends in Pakistan, 20k solar system price in Pakistan, causes of terrorism in Pakistan, Macbook price in Pakistan, Galaxy S26 Series, Xiaomi 16, Snapdragon 8.
