Washington: United States President Donald Trump has imposed a 19% reciprocal tariff on Pakistan, just days after announcing a strategic energy and trade partnership between the two countries. The move comes as part of the expansion plan of Trump’s sweeping “Liberation Day” tariff, announced via an executive order on Thursday. The revised tariff policy targets 68 countries and the European Union.
According to the White House, the 19% duty on Pakistani imports will come into effect from August 7, under a new executive order signed by US President Trump this week. The measure falls under the administration’s broader tariff policy aimed at restoring what it calls “fair and reciprocal trade.”
The announcement comes on the heels of a fresh energy deal between the U.S. and Pakistan, in which both sides have agreed to cooperate on the development of Pakistan’s oil reserves. While full details of the deal remain confidential, sources in the US administration said it could potentially allow oil exports to third countries, including India, in the future.
“This is about correcting imbalances and rewarding countries that are open to true partnerships,” Trump said at a press briefing, hinting at Pakistan’s cooperation as a model for other nations.
The US-Pakistan deal marks a major shift in its long-standing dependence on Middle Eastern energy suppliers.
Pakistan’s largest refiner, Cnergyico, will import 1 million barrels of oil from American West Texas Intermediate (WTI) crude from global commodity trader Vitol in October, its vice chairman, Usama Qureshi, told Reuters on Friday.
While imposing the 19% tariff on Pakistan, Trump also declared a 25% tariff on Indian imports, citing concerns over India’s continued purchases of Russian oil and defense equipment. The US President indicated that India would face penalties if it failed to align more closely with American trade and strategic interests.
Pakistan’s trade with the US is dominated by textiles, apparel, and leather goods—sectors that are expected to be impacted directly by the tariff. However, officials in Islamabad have expressed optimism over the broader economic ties with Washington, especially in the energy and investment sectors.
Earlier this year, Pakistan’s Finance Minister Muhammad Aurangzeb met U.S. Commerce Secretary Howard Lutnick in Washington, paving the way for expanded bilateral trade cooperation. The energy partnership and subsequent tariff announcement mark a turning point in U.S.-Pakistan relations, signaling a shift in Washington’s South Asia policy.
The new executive order is part of Trump’s “Liberation Day” trade initiative, launched in April 2025, which had initially set a 10% baseline tariff on imports from most countries. The updated policy replaces the blanket tariff with country-specific rates, ranging between 10% and 50%, based on reciprocal access and strategic considerations.
The imposition of tariffs on both India and Pakistan within the same framework underscores the administration’s push to reassert control over US trade policy in the region. It also reflects Washington’s intention to reward countries aligning with its strategic goals, while penalizing those perceived to be working against them.