Washington, D.C. – August 1: In a historic development, Pakistan and the United States have finalized a comprehensive trade agreement aimed at enhancing bilateral trade, reducing tariffs, expanding market access, and fostering investment across key sectors.
The agreement was reached during a high-level meeting between Pakistan’s Federal Finance Minister Senator Muhammad Aurangzeb, U.S. Secretary of Commerce Howard Lutnick, and United States Trade Representative Ambassador Jamieson Greer. Secretary Commerce Jawad Paul and Pakistan’s Ambassador to the U.S., Rizwan Saeed Sheikh, also attended the meeting. Former U.S. President Donald Trump announced the deal on Truth Social.
According to Pakistan’s Ministry of Finance, the trade agreement will significantly lower reciprocal tariffs, particularly benefiting Pakistani exports to the United States. The deal also paves the way for enhanced cooperation in energy, minerals and mining, IT, cryptocurrency, and other strategic sectors—ushering in what both sides have termed a “new economic era.”
“This is more than a trade deal—it’s the foundation of a broader economic and strategic partnership,” said Minister Aurangzeb. “Trade and investment go hand in hand, and we’re witnessing the emergence of deeper collaboration.”
The agreement includes provisions for addressing trade imbalances and non-tariff barriers while encouraging U.S. investment in Pakistan’s infrastructure and development projects. It also supports Pakistan’s goal of expanding bilateral ties to include partnerships with individual U.S. states.
Minister Aurangzeb praised Pakistan’s private sector and government institutions for their role in concluding the deal, stating, “This has truly been a team effort.”
Calling the agreement a “win-win,” he added: “Alhamdulillah, we are in a good place today. We’ve laid the foundation for future growth and mutual prosperity.”
The agreement marks a major milestone in Pakistan-U.S. relations and is expected to unlock vast economic opportunities for both nations.
