Daily Times

The U.S. government has expressed concerns about Pakistan’s trade and investment policies. These policies reportedly hurt American businesses, especially after President Donald Trump imposed a 29% reciprocal tariff on Pakistan. A recent report titled ‘2025 National Trade Estimate Report on Foreign Trade Barriers’ highlighted these concerns.

Sources indicate that American companies face high tariff rates and additional duties on products. They specifically mentioned issues with automobiles and finished goods. Furthermore, U.S. exporters report challenges such as non-uniform customs valuation and excessive documentation requirements. These problems add unnecessary compliance burdens for American businesses in Pakistan.

The report detailed specific customs rules impacting American companies. Customs Rule 389 requires physical invoices and packing lists in shipping containers. In contrast, Customs Rule 391 places liability on the goods’ owner and the carrier for document compliance. These rules complicate the shipping process, especially when intermediaries are involved.

Additionally, U.S. companies face foreign exchange restrictions and bureaucratic hurdles. These factors make it difficult to repatriate profits and dividends, especially during tighter dollar outflow controls. Despite some improvements in 2024, concerns about unfair taxation remain. The report noted ongoing issues with weak intellectual property enforcement and corruption, which discourage foreign investment.