Pakistan and Iran have agreed to raise their annual bilateral trade target to $8 billion in a strong push to deepen economic and regional cooperation. The agreement was reached during a meeting in Islamabad between Pakistan’s Commerce Minister Jam Kamal Khan and Iranian Minister for Industry, Mine and Trade Mohammad Atabak. Both sides emphasized the need to turn geographical closeness into economic strength and to speed up the Joint Economic Commission’s upcoming session.
The ministers highlighted the importance of stronger cross-border ties and welcomed the growing trust between the two countries’ business communities. To build on this momentum, they launched a new round of business-to-business (B2B) meetings to support private-sector collaboration. In addition, they called for better use of existing trade corridors and border facilities, aiming to boost trade in areas like agriculture, livestock, energy, logistics, and IT services.
Jam Kamal Khan described Pakistan-Iran ties as a symbol of friendship, trade, and shared culture, noting that stronger economic cooperation would lead to more solid fraternal relations. Mohammad Atabak added that enhanced ties could help bring peace and stability to the wider region. Both leaders agreed that deeper economic engagement was the best way to ensure mutual growth and regional strength.
The trade talks came during Iranian President Dr Masoud Pezeshkian’s official two-day visit to Pakistan. Prime Minister Shehbaz Sharif, Deputy Prime Minister Ishaq Dar, and Information Minister Attaullah Tarar warmly received the president and his delegation at Nur Khan Airbase. During his visit, Dr Pezeshkian is expected to hold talks with President Asif Ali Zardari and top government officials to strengthen ties across various sectors.
At the same time, defence cooperation is also seeing renewed focus. Iran’s Defence Minister Brigadier General Aziz Nasir-Zadeh met with Pakistan’s Defence Minister Khawaja Asif to discuss regional security, counter-terrorism, and broader defence collaboration. Both sides agreed that closer defence cooperation would improve stability in the region and address shared security concerns more effectively.
Meanwhile, Pakistan has taken firm steps to stop the smuggling of Iranian oil, which previously undercut legal trade. These actions led to a 340% increase in official trade, showing positive results. However, recent reports suggest smuggling activities may be picking up again, raising alarms among local oil industry players. The government is expected to respond with stricter enforcement to protect lawful commerce.