INTERNATIONAL ROAD TRANSPORT CHAMBER OF PAKISTAN

Pakistan Proposes Zero-Tariff Trade Deal to the United States Amid Global Economic Shifts

In a significant development with potential global implications, Pakistan has formally offered a zero-tariff bilateral trade agreement to the United States. The proposal aims to remove all import and export duties between the two nations, signaling a major policy shift and a strategic attempt to strengthen bilateral trade ties amid rising protectionism worldwide.

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Strategic Timing Amid Tariff Tensions

This offer follows a recent wave of tariff increases announced by the United States, which included a 10% blanket tariff on all imports and an elevated 29% tariff specifically targeting Pakistani goods. In response, Pakistan has opted for a diplomatic and cooperative approach rather than retaliatory measures.

The proposal is being seen as a proactive step toward reshaping the country’s trade relationship with one of the world’s largest economies. According to officials, the aim is to create a fair, balanced, and mutually beneficial trading framework that supports economic growth for both nations.

High-Level Coordination and Policy Planning

To support this initiative, Pakistan has established high-level bodies to lead the negotiation strategy. A national steering committee comprising senior policymakers, economists, and industry leaders has been formed to coordinate the response. Additionally, a technical working group within the commerce ministry is tasked with preparing the groundwork for formal discussions with U.S. counterparts.

A delegation is expected to visit Washington in the coming weeks to engage in direct talks aimed at advancing the zero-tariff proposal and easing trade restrictions currently in place.

Minerals and Market Access: A New Dimension

Observers note that the offer comes at a time when the United States is increasingly seeking access to reliable sources of critical mineralsespecially copper. Pakistan’s major copper-gold mining initiative, which is among the largest in the world and involves international partnerships, may serve as strategic leverage in the broader economic dialogue.

Analysts suggest that access to such minerals could provide strong incentive for the United States to consider Pakistan’s proposal more favorably, especially in the context of global supply chain diversification and energy transition priorities.

IRTCoP’s Official Response

The International Road Transport Chamber of Pakistan (IRTCoP) has welcomed the zero-tariff proposal, describing it as a forward-thinking measure that aligns with modern trade diplomacy.

In an official statement, IRTCoP stated:

The zero-tariff proposal reflects Pakistan’s commitment to promoting multilateral trade harmony in an era dominated by unilateral trade restrictions. This approach highlights a shift from confrontation to cooperation in global economic relations. IRTCoP supports all efforts to develop evidence-based trade models and policy frameworks that can enhance Pakistan’s role in international trade networks.”

IRTCoP also confirmed that it is currently conducting impact assessments across key export sectors—such as textiles, agriculture, IT services, and surgical instruments—to evaluate the long-term benefits of a zero-tariff regime.

Global Trade Implications

The offer is being closely watched by international markets and trade bodies. If accepted or partially adopted, it could serve as a template for emerging economies looking to reposition themselves within shifting global trade structures. The move underscores Pakistan’s intent to engage constructively on the world stage, leveraging both policy and resource assets to foster sustainable trade partnerships.

As negotiations unfold, the global community will be monitoring how the United States responds to this significant and timely diplomatic overture.

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