Trump says Pakistani representatives coming to US next week for trade talks

US President Donald Trump said on Friday that representatives from Pakistan are coming to the United States next week as Islamabad seeks to make a deal on tariffs.

Pakistan faces a potential 29 per cent tariff on its exports to the US due to a $3 billion trade surplus with the world’s biggest economy, under tariffs announced by Washington last month on countries around the world.

Pakistan’s formal negotiations with the United States on reciprocal tariffs started earlier in the day with a phone call between Finance Minister Muhammad Aurangzeb and US Trade Representative Jamieson Greer, a press release from the finance ministry said.

Trump said he would have no interest in making a deal with Pakistan or India, if they were to engage in war with each other.

The developments follow a recent military confrontation between India and Pakistan over New Delhi’s allegations against Islamabad, without evidence, about a deadly attack in occupied Kashmir’s Pahalgam.

New Delhi, based on the allegations, launched a series of air strikes in Pakistan in early May, killing civilians. Islamabad responded by downing five Indian jets. After intercepting drones sent by India on May 8 and tit-for-tat strikes on each other’s airbases, it took American intervention on May 10 for both sides to finally reach a ceasefire.

“As you know, we’re very close making a deal with India,” Trump told reporters at Joint Base Andrews after departing Air Force One.

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Indian Trade Minister Piyush Goyal visited Washington recently to advance trade talks, with both sides aiming to sign an interim agreement by early July.

India faces 26pc tariffs on shipments to the US.

Reuters reported last week that India is likely to allow US firms to bid for contracts worth over $50 billion, mainly from federal entities, as it negotiates a trade deal with Washington.

The increase in trade tariffs on Pakistani products, amongst a global tariff announcement by US President Donald Trump, which were paused, could have a devastating impact on Pakistan’s important exports and serve as a wake-up call for diversification, according to a state-owned think tank.

The Pakistan Institute of Development Economics warned that these tariffs could have a “devastating impact” on the country’s export sector, translating into an annual loss of $1.1-1.4 billion.

Trump’s tariffs, implemented on April 2, introduced a 10 per cent baseline tariff for every country the US trades with, and additional reciprocal tariffs on rivals and allies alike.

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