Pakistan and the United States have been negotiating toward a longer-term Agreement on Reciprocal Trade (ART) throughout 2026, building on the tariff deal announced in July 2025. Talks advanced in Washington on 9–10 July 2026 and again in a high-level virtual meeting on 5 August 2026, with both governments describing 'significant progress.' Nothing new has been signed yet, but the direction is clear enough that buyers sourcing from Pakistan should understand what's confirmed and what's still moving.
What actually happened in July and August 2026
Pakistan's Finance Minister Muhammad Aurangzeb and Commerce Secretary Jawad Paul met with US Trade Representative Ambassador Jamieson Greer for a fresh round of talks in Washington on 9–10 July 2026, followed by a virtual meeting on 5 August 2026. Both sides described the discussions as making significant progress toward a fuller Agreement on Reciprocal Trade (ART) and said they aimed to conclude one 'at the earliest.'
No new agreement has been signed as of this writing. What exists so far is the reciprocal tariff arrangement announced in July 2025, and the current talks are aimed at converting that into a longer-term, more detailed framework.
The backdrop: where the 19% tariff came from
In July 2025, Pakistan and the US concluded a deal that set Pakistan's reciprocal tariff rate at 19%, covering textiles, leather goods, surgical instruments, IT services and agricultural products among the named categories. That rate compares favourably with several regional competitors also facing US reciprocal tariffs: India at 25%, Bangladesh at 20% and Iraq at 35%.
Total US-Pakistan goods trade ran to an estimated $8.7 billion in 2025 — $5.4 billion in Pakistani exports to the US and $3.3 billion in US exports to Pakistan — with the US remaining Pakistan's single largest export market.
What's still open
- No published text of a finalised ART is available yet; details of any changes to the current 19% rate have not been confirmed.
- Reported discussion topics include labour and regulatory-compliance reforms, which could affect documentation requirements for exporters, though specifics haven't been made public.
- Both governments have said they want to conclude talks soon, but no binding deadline has been announced.
What this means if you're buying from Pakistan right now
Last verified 8 September 2026: the 19% reciprocal tariff set by Executive Order 14326 (31 July 2025, published in the Federal Register on 6 August 2025) remains the rate legally in effect for Pakistani exports to the US, including surgical instruments. No new Agreement on Reciprocal Trade has been signed or taken legal effect as of this date. The practical point for a quotation you place today is not to treat 19% as permanent — confirm the current rate for your product's exact HS code against the US Harmonized Tariff Schedule before relying on it.
Keep the same discipline we recommend for any cross-border order: confirm HS codes and country-of-origin documentation with your supplier in writing, and build in enough lead time to absorb a rate change if one is announced mid-order. See our guide on preparing a medical-product RFQ for the documentation checklist this depends on.
Official sources
These sources support the market or regulatory context. Supplier capability still requires product-level verification.
- Federal Register — Executive Order 14326, Further Modifying the Reciprocal Tariff Rates (31 July 2025)
- USITC — Harmonized Tariff Schedule of the United States (current rates by HS code)
- Ministry of Commerce, Government of Pakistan
- Pakistani goods face reduced 19pc US tariff as Trump hits dozens of countries with steep duties — DAWN.com
- Pakistan, US move closer to reciprocal trade agreement — PkRevenue
- Pakistan, US aim to conclude reciprocal trade agreement soon — Business Recorder
This guide provides general commercial education. Product-specific technical, legal and regulatory requirements should be confirmed for the selected product and destination market.