In the current fiscal year, the United States has emerged as Pakistan’s largest export market, while China has become the largest importer.
According to media reports, the trade balance with the U.S. is in Pakistan’s favor, while with China, it is tilted the other way.
From July to November 2024, Pakistan’s bilateral trade with the U.S. reached $3.5 billion.
During this period, Pakistani exports to the US amounted to $2.45 billion, reflecting a 14 percent increase compared to the same period last year. Imports from the U.S., however, were much lower standing at $594.2 million.
On the other hand, Pakistan’s trade with China during the same five months reached $7.19 billion.
However, the trade balance was unfavorable for Pakistan, as exports to China – after dropping 14 percent – totaled only $1.12 billion, while imports from China stood at $6.07 billion after an increase of 15 percent.
Despite China becoming Pakistan’s largest trading partner over the past five years, concerns remain regarding the competitiveness of Pakistani goods in the Chinese market.
Local exporters highlight that the high cost of production in Pakistan makes its products less competitive compared to Chinese goods.
Additionally, China is a major competitor in key sectors like textiles and leather products.
Exporters argue that Pakistan has a limited range of products to offer China, further limiting trade potential.
Source: Dawn
