Finance minister to visit Washington for trade, tariff talks with US

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Finance Minister Muhammad Aurangzeb speaks during a Reuters interview in Islamabad, Pakistan, June 15, 2026. — Reuters/File
Finance Minister Muhammad Aurangzeb speaks during a Reuters interview in Islamabad, Pakistan, June 15, 2026. — Reuters/File

WASHINGTON: Finance Minister Muhammad Aurangzeb is expected to arrive in Washington on Saturday for a three-day visit during which he will hold talks with officials on trade, finance and investment as Pakistan and the United States continue negotiations on a broader bilateral economic partnership, diplomatic sources told Dawn.

According to the sources, Aurangzeb is scheduled to meet officials from the Office of the United States Trade Representative (USTR), the US Export-Import (Exim) Bank, the US International Development Finance Corporation (DFC) and the International Monetary Fund (IMF).

A key focus of the visit will be discussions on the framework of a potential bilateral trade agreement aimed at expanding trade and investment between the two countries. The talks are expected to cover tariffs, market access, investment opportunities and broader economic cooperation.

Meetings with the Exim Bank and the DFC are also expected to explore avenues for financing infrastructure, energy and private-sector investment projects.

Aurangzeb’s visit comes as Pakistani and US officials continue negotiations that began in Washington last week over tariffs on Pakistani exports and a wider trade agreement.

The latest round of talks follows months of negotiations over the global tariff regime announced by US President Donald Trump on April 2, 2025, under the International Emergency Economic Powers Act (IEEPA), which initially imposed a 29 per cent tariff on Pakistani exports.

A Pakistani delegation that visited Washington in July 2025 succeeded in persuading US officials to reduce the proposed tariff from 29 per cent to 19pc.

The tariff landscape has since changed following a US Supreme Court ruling earlier this year that invalidated the IEEPA-based tariffs. In response, the Trump administration invoked Section 122 of the Trade Act to impose a temporary global tariff of 10pc, which is due to expire on July 24 after the statutory 150-day period.

Pakistan is also among nearly 60 countries facing USTR investigations under Section 301 over alleged forced labour and related trade practices. Islamabad has submitted detailed responses to the USTR, including an additional submission this week ahead of the latest negotiations.

Under the ongoing Section 301 process, Pakistan faces a proposed additional tariff of 10pc, while India and 53 other countries are subject to proposed tariffs of 12.5pc. Public hearings before the USTR are continuing.

Beyond tariffs, both sides are also expected to discuss measures to expand bilateral trade and investment.

Aurangzeb last visited Washington in April to attend the IMF and World Bank Spring Meetings, where he held more than 50 meetings with international financial institutions, investors and rating agencies to present Pakistan’s economic reform programme and efforts to restore macroeconomic stability.

During that visit, he briefed investors on Pakistan’s plans to return to international capital markets through Panda Bonds and Eurobonds after several years. He also met US Treasury officials and representatives of multilateral institutions to discuss Pakistan’s response to the economic impact of regional tensions and volatility in global energy markets caused by the conflict involving Iran.

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