Trump Announces Major Pakistan Trade Deal, Vows Joint Oil Development/Exploration

[NGAD IS THE BEST]

F Israel and all those who refuse to condemn it! ISRAEL HAS NO RIGHT TO EXIST.



Good job

Keep repeating that again and again

 

[Samlee]

First, you have to separate so many issues. They aren't in 1. For example, 3 people working, trying to run 1 house, aren't 1. Even though money is the end result. All 3 have different circumstances. Same thing here, things aren't 1 like your post suggest.

Tariff is one thing. Trade / business policy is another. Abraham accord is different (not in the picture right now). Your competition is also not your business because you are getting a preferential trade agreement. So the US has already said we will be put on top of the list, competition remains for others.

The Tariff only means we can increase the price to include it, or share it, or, decrease our margin a bit. It doesn't give us a loss.

-We get massive preferential access to US market, can really grow our textile sector to however big we can, per our capacity.
- US will pour billions into Pakistan for Crypto and AI. Millions of our Tech population will work on hi-tech stuff.
- Preferential partnership agreement with the US on oil, gas, minerals exploration. Where the US will invest from their pocket and from resulting profit, we'll pay back the exploration cost, while Pakistani labor will be used in exploration activities with management from US firms.

What more can we ask for? This here is a one time opportunity for Pakistan to grow heavy. It's similar to 1995 with Clinton - India situation.

Back when Trump was elected.He promised reciprocal tariffs on the so called Dirty 15 i.e the 15 countries with which the US has the highest trade deficit.


Countries like India Mexico Thailand and Vietnam were in the firing line.These countries were the biggest beneficiaries of the US China trade war During Trump 1.0.Now that they were the targets of potential reciprocal tariffs I was personally excited that great economic opportunities might come the way of Pakistan.So imagine my disappointment When Trump decided to tariffs everyone including an island of penguins.

 

[Samlee]

You seem to be unaware of the fact that Pakistan has made concessions and agreed to a deal . India is still negotiating. India has a higher rate as of now but has also not made any concessions. Many US goods still face 100% + tariffs in India.

Yes when you get concessions you make concessions that is how a trade deal works.

You can tariffs 1000% on US products for all I care you're the one that will suffer blowback not me

 

[Yasser76]

Yes when you get concessions you make concessions that is how a trade deal works

Honestly, explaining basic business to these idiots is like explaining quantum physics to a chimp. Probably have more progress with the chimp to be fair....

 

[Rationale]

What concessions Pakistan has made no one knows, what happens to India no one knows.

What we do know, what is actual factual, as in happening right now, is that most Indian products are now 6% more then Pakistani products in the US.

Pakistani exporters of textiles and agriculture are now, default, 6% cheaper then Indias. So until India agrees a deal, it is at a competative disadvantge in the world's largest consumer market vis a vis Pakistan. Thsi was done by your "ally"

Most of that is factually incorrect because right now both countries face a 10% tariff. The only country for which new tariffs were implemented on Aug 1 is Canada , which is supposedly America's closest ally and which is facing a 35% rate.

 

[Vkdindian1]

If you think Pakistan's manufacturing is non existent then my friend your knowledge of Pakistani economy is non existent

Non-existent is a relative word in this context.
A country of the size of Pak is bound to have some manufacturing. The question is how developed is it? Is it competitive to similar ones in other countries? What are the sectors where you make well? How fast it can be scaled up?

The data on manufacturing and its growth is available on IMF and world bank websites and is nothing great to talk about.

I am not denying that there is a huge potential, but, at this time, it can’t compete against countries like Malaysia, Indonesia etc. I am not including India, since that would trigger many sentiments.

It can be developed, but that would require dynamism, which hasn’t been seen in Pakistan for quite some time.
If you can make use of this opportunity then go ahead.

 

[Yasser76]

Most of that is factually incorrect because right now both countries face a 10% tariff. The only country for which new tariffs were implemented on Aug 1 is Canada , which is supposedly America's closest ally and which is facing a 35% rate.

It is factually incorrect Pakistan will face 19% and India 25%?

What part of that sentence is incorrect?

 

[hydrabadi_arab]

I desired a baseline tariff of 10 %.I am offering preferential access to the natural resources of my country,I am going to compromise on what I believed for 70 years vis a vis Palestine to sign Abraham Accords.If in exchange I demand preferential access to the biggest market in the world for my products,Tell me I am wrong in desiring that.


This 19% means that were pretty much in the same league as our competitors Bangladesh Vietnam Indonesia And phillipines

Minerals and oil are all on paper only.

Bangladesh enjoyed preferential treatment under LDC, now 20% tariff. So they went from lower tariffs then Pakistan by 5-10% to 1% higher. This will have some impact.

 

[SoulSpokesman]

Lets hope Indians are able to make some low cost compromises somewhere and pull down the tariff to 20%.

Regards

 

[RajaBaja]

Back when Trump was elected.He promised reciprocal tariffs on the so called Dirty 15 i.e the 15 countries with which the US has the highest trade deficit.


Countries like India Mexico Thailand and Vietnam were in the firing line.These countries were the biggest beneficiaries of the US China trade war During Trump 1.0.Now that they were the targets of potential reciprocal tariffs I was personally excited that great economic opportunities might come the way of Pakistan.So imagine my disappointment When Trump decided to tariffs everyone including an island of penguins.

There is no disappointment at all. I hope I explained properly. Greatest economic journey just started for Pakistan. America, China and Russia are going to be our partners in this journey to $1 trillion and then $2 trillion economy.

Pakistan is now the only country with good, trusting relations with all 3 great powers. They listen to us and respect what we say. No other country can say that.

Sadly, a country that could also benefit mutually, sharing borders with us, is still in a delusional "big country myth".

 

[Rationale]

Yes when you get concessions you make concessions that is how a trade deal works.

You can tariffs 1000% on US products for all I care you're the one that will suffer blowback not me

What part of it don't you understand. The India US deal is still being negotiated. India will drop its rates when the US drops its. If the US puts India at a disadvantage in the US market, its exporters will also be disadvantaged against those from the UK and other countries that have deals with India.

 

[RajaBaja]

Minerals and oil are all on paper only.

Infrastructure work already started on some sites. New exploration being setup. These things will happen fast because some of these are verified sites under Reko Diq and other project.

 

[Yasser76]

Minerals and oil are all on paper only.

Bangladesh enjoyed preferential treatment under LDC, now 20% tariff. So they went from lower tariffs then Pakistan by 5-10% to 1% higher. This will have some impact.

We can really eat into BD Textile exports now, they have been doing very well on this front

 

[Yasser76]

What part of it don't you understand. The India US deal is still being negotiated. India will drop its rates when the US drops its. If the US puts India at a disadvantage in the US market, its exporters will also be disadvantaged against those from the UK and other countries that have deals with India.

No deal with US will hurt India much much more then the US

 

[Taimoor]

And even that excludes electronics and IT, our biggest exports and that’s before the deal is even final

Electronics exports? Since when you start manufacturing chips? I have been living in UK majority of my adult life, and only "made in India" is either in local asian grocery shop or random garments. Thats about it.