Just a day after unveiling a “landmark energy partnership” with Pakistan, US President Donald Trump imposed a 19% tariff on Pakistani goods as part of his expansive “Liberation Day” tariff plan, effective August 7, 2025. The move, announced via an executive order on Thursday, follows a last-minute trade deal that reduced Pakistan’s tariff from a previously threatened 29% to 19%, aligning it with rates for Thailand, Cambodia, Indonesia, and the Philippines.

On Tuesday, Trump highlighted the agreement on Truth Social, touting joint development of Pakistan’s “massive oil reserves” and suggesting potential oil exports to India, though the reserves’ scale remains unclear, with Pakistan’s proven crude oil estimated at 353 million barrels. The deal includes Pakistan’s largest refiner, Cnergyico, importing 1 million barrels of US West Texas Intermediate (WTI) crude from Vitol in October, marking a shift from Middle Eastern suppliers.

The White House’s updated tariff list sets a 10% baseline for most countries, with higher rates for trade surplus nations like India (25%), Taiwan (20%), and South Africa (30%). The tariffs aim to narrow US trade deficits and boost revenue, with additional levies for transshipped goods to prevent evasion. Pakistan’s Finance Ministry hailed the deal as a step toward broader economic ties, but the 19% tariff tempers the optimism surrounding the energy pact.

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