WASHINGTON: Pakistan and the United States began a fresh round of negotiations on a proposed Reciprocal Trade Agreement, with both sides seeking to expand bilateral commerce, address tariff-related concerns and broaden economic cooperation.

The two-day talks, held on Thursday and Friday, were led by Commerce Secretary Jawad Paul. The Pakistani delegation also includes Secretary Overseas Pakistanis and Human Resource Development Nadeem Chaudhary, Foreign Office spokesperson Tahir Andrabi, Joint Secretary (Tariff Policy) Mohammad Ashfaq and officials from other ministries participating virtually.

Mr Andrabi said the discussions were aimed at strengthening bilateral trade ties and creating a framework for deeper economic engagement.

“The talks aim to further strengthen Pakistan-US trade relations, facilitate bilateral trade as a driver of economic cooperation, and pave the way for the diversification and expansion of existing trade,” he said in a social media post.

Officials familiar with the discussions said the negotiations cover not only reciprocal tariff arrangements but also broader areas of economic cooperation, including energy, information technology, mining and investment.

Two-day round targets tariffs, investment

The latest talks follow earlier engagement between Pakistani officials and the Office of the United States Trade Representative (USTR) on tariff concerns and commercial ties. Those discussions resulted in progress on tariff issues, with proposed US duties on certain Pakistani exports reportedly reduced from an initial 29 per cent to around 19pc.

Islamabad has continued to seek greater market access for Pakistani exporters, particularly in sectors with strong potential in the US market.

The new round is expected to focus on creating a wider framework for trade expansion, investment facilitation and industrial cooperation. Both countries have expressed interest in increasing collaboration in areas such as critical minerals, energy development, information technology and emerging economic sectors.

Officials from the two sides have also discussed encouraging greater private-sector participation through investment facilitation measures and public-private partnerships.

Analysts say tariff structures, regulatory issues and ease of doing business will remain important areas of discussion as both countries seek to expand economic ties. Pakistan has highlighted the importance of improved access for its exports, particularly textiles, while US businesses have emphasised regulatory consistency and investment facilitation.

Diplomatic observers in Washington say that while regional issues, including developments involving Iran and Afghanistan, continue to influence Pakistan-US relations, both countries increasingly view economic cooperation as an important component of a broader partnership.

For Pakistan, the outcome of the Washington negotiations will be closely watched by exporters, especially in the textile sector, which sees improved access to the US market as critical to increasing exports, attracting investment, and supporting economic growth.

Published in Dawn, July 11th, 2026