Federal Minister for Commerce Jam Kamal Khan held a key meeting with the Ambassador of Japan on Monday, focusing on strengthening trade relations and addressing long-standing tariff issues.
During the meeting, the minister proposed holding a dedicated Pakistan-Japan Business Forum to enhance bilateral commercial ties.
Minister Kamal emphasized the urgent need to boost Pakistan’s exports to Japan, which have remained stagnant and are significantly lower than imports.
In FY 2023-24, bilateral trade stood at $1.33 billion, with Pakistan exporting only $194 million worth of goods to Japan, compared to $1.137 billion in imports.
Secretary Commerce Jawad Paul advocated for entering into a bilateral Preferential Trade Agreement (PTA) with Japan to ensure fair competition and balanced tariffs.
He pointed out that Pakistan faces higher tariff barriers compared to other countries in the region, limiting its competitiveness in the Japanese market.
Under Japan’s Generalized System of Preferences (GSP), Pakistan’s textile exports face an average tariff of 5.36%, while leather products are subject to an average tariff of 16% under Tariff Rate Quotas (TRQs).
The Ambassador of Japan welcomed the proposal for a Business Forum and acknowledged Pakistan’s concerns regarding high tariffs, assuring that these issues will be addressed. He reaffirmed Japan’s commitment to enhancing bilateral trade and investment.
Minister Kamal also stressed the importance of easing business travel through multiple-entry visas and encouraged Japanese investors to explore opportunities in Pakistan’s textile, leather, surgical, and seafood sectors.
He noted that Pakistan’s pavilion at Osaka Expo 2025, where it is participating in a Type-C pavilion, has received strong international appreciation.
Additionally, Prime Minister Shehbaz Sharif will host a meeting with the Japanese Ambassador and representatives of Japanese companies, to discuss trade and investment opportunities and promote closer economic cooperation.
This renewed diplomatic outreach reflects Pakistan’s commitment to diversifying its export markets and securing more equitable trade arrangements with key global partners.