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Pakistan’s textile industry looks to ‘grab business’ amid US-China tariff escalation

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Updated 11 April 2025
Reuters
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Pakistan’s textile industry looks to ‘grab business’ amid US-China tariff escalation

Pakistan’s textile industry looks to ‘grab business’ amid US-China tariff escalation
  • Textile sector in Pakistan generates about $17 billion in exports and is the largest employer in the country
  • Pakistan’s textile industry is expected to face potential losses of up to $2 billion in textile exports under new tariffs
Updated 11 April 2025
Reuters
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ISLAMABAD: Pakistan’s textile sector is looking at opportunities to “grab business” as the US and China steadily hiked tariffs amid an escalating trade war, the head of the country’s textile council said this week. 
The textile sector in Pakistan generates about $17 billion in exports and is the largest employer in the country, according to Fawad Anwar, Chairman of the Pakistan Textile Council.
“There is an opportunity to grab (business) from China. How well we can do that, that depends on how well we can sit on the table and negotiate,” said Anwar, who spoke to Reuters hours before US President Donald Trump temporarily paused hefty tariffs on dozens of countries for 90 days, except for China.
Pakistan would have been slapped with a 29 percent tariff rate before Trump’s turnabout on Wednesday. A 10 percent blanket duty on almost all US imports will remain in effect, the White House said.
Trump also hiked the tariff on Chinese imports to 125 percent from the 104 percent level that kicked in on Wednesday.
Previously, Beijing had slapped 84 percent tariffs on US imports to match an earlier tariff salvo from Trump and had vowed to “fight to the end” in an escalating tit-for-tat trade dispute between the world’s top two economies.
“This is a war between the two giants, and everything else is a collateral damage,” said Anwar.
Pakistan’s textile industry is expected to face significant challenges from the tariffs with potential losses of up to $2 billion in textile exports estimated by experts, if the 29 percent tariff rate is reinstated after Trump’s 90-day pause ends.
For Pakistan’s textile industry’s Anwar, the levy hike is a short term issue which ‘has to be resolved’.
“They cannot sustain this 29 percent, the US retailer or the US consumer… nobody can sustain this big of a percentage increase,” said Anwar.

Topics: textile industry Trump tartiffs Pakistan Textile Council

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Karachi braces for heatwave this week as mercury soars in southern Pakistan

Karachi braces for heatwave this week as mercury soars in southern Pakistan
Updated 16 April 2025
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Karachi braces for heatwave this week as mercury soars in southern Pakistan

Karachi braces for heatwave this week as mercury soars in southern Pakistan
  • Starting this Sunday, Karachi’s temperature may surge close to 40 degrees Celsius, says meteorologist
  • More relief centers will be set up providing water and first aid to citizens, says commissioner’s office
Updated 16 April 2025
NAIMAT KHAN

KARACHI: Authorities in Pakistan’s largest city of Karachi are bracing for a heatwave expected to hit the metropolis next Sunday, with the mercury already surging to high levels in some parts of the southern Sindh province. 
The Pakistan Meteorological Department forecast “heatwave conditions” are likely to continue in Sindh, South Punjab and Balochistan till Apr. 18. It said that a shallow westerly wave is expected to affect the upper parts of the country from Wednesday afternoon until Apr. 20.
The highest temperature during the day in Sindh was recorded in Nawabshah, 47° C., as per the Met Office. The temperature in other cities of Sindh such as Larkana and Jacobabad surged to 46° C.
“Mainly hot and dry weather is expected over most parts of the country, while very hot in southern parts,” the Met Office said. “However, dust/thunderstorm-rain is expected at isolated places in upper Khyber Pakhtunkhwa, Potohar region, Islamabad, northeast Punjab, Kashmir and Gilgit-Baltistan during (evening/night).”
Meteorologist Anjum Zaigham told Arab News that a heatwave situation is anticipated in Karachi from Sunday onwards. He said the temperature in the city these days is “more or less normal,” ranging between 34 to 37 degrees Celsius. 
“Starting this coming Sunday, there will be an increase in the intensity of heat in Karachi, and it is expected that the temperature may reach close to 40 degrees Celsius, potentially creating a heatwave-like situation,” Zaigham said. 
He noted that high humidity, particularly in the morning, contributes to a higher “feels like” temperature.
“From this coming Sunday until Wednesday or Thursday, a heatwave like situation may develop in Karachi,” he said. 
Relief stalls were set up in different districts of Karachi, with the commissioner’s office spokesperson saying more roadside relief centers will be established to provide water and first aid in case of emergency.
Climate change is exacerbating heat waves in Pakistan, leading to more frequent extreme temperatures. Pakistan ranks among the top ten most vulnerable to climate change impacts and also faces increased risks of untimely downpours, floods and droughts.
These heat waves contribute to various illnesses, significant economic losses and weather-related deaths during the summer season. A deadly heat wave in Karachi in 2015 resulted in over 2,000 deaths, while devastating floods in 2022 killed approximately 1,700 people and affected over 33 million nationwide, requiring extensive rebuilding efforts.

Topics: Karachi heat wave

Bodies of eight Pakistani nationals killed in Iran to be repatriated today, says envoy

Bodies of eight Pakistani nationals killed in Iran to be repatriated today, says envoy
Updated 54 min 18 sec ago
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Bodies of eight Pakistani nationals killed in Iran to be repatriated today, says envoy

Bodies of eight Pakistani nationals killed in Iran to be repatriated today, says envoy
  • Pakistan’s envoy to Iran says Islamabad will send military plane to repatriate bodies for urgent burial
  • Baloch separatists claimed responsibility for killing eight Pakistanis in Sistan-Baluchestan last week
Updated 54 min 18 sec ago
Arab News Pakistan

ISLAMABAD: The bodies of eight Pakistani nationals killed in Iran last week will be repatriated to the country early Thursday, Pakistan’s ambassador to Iran announced on Wednesday, saying that a military plane would bring back the corpses for urgent burial. 
Pakistan on Saturday confirmed eight of its nationals were killed in the Mehrestan County of Iran’s Sistan-Baluchestan province, which borders Pakistan. The attack was claimed by the Balochistan National Army (BNA), one of several separatist outfits operating in Pakistan’s southwestern Balochistan province. 
Prime Minister Shehbaz Sharif, during a televised address to the federal cabinet on Tuesday, hoped Iran would immediately arrest the killers and bring them to justice.
“All arrangements have been completed for sending mortal remains of 8 of our nationals to Bahawalpur tonight,” Muhammad Mudassir Tipu, Pakistan’s ambassador to Iran, said on social media platform X.
“To honor the departed souls, our leadership is sending military plane for urgent burial.”

Tipu said the Iranian dignitaries will be paying their respects to the bodies before sending them to Pakistan. 
IRAN ASSURES ‘FULL COOPERATION’
Earlier on Wednesday, Iran’s Foreign Minister Seyyed Abbas Araghchi condoled the killing of the Pakistani nationals and assured Islamabad of “full cooperation” in bringing the perpetrators to justice, Pakistan’s foreign office said.
Araghchi spoke to Pakistan’s Foreign Minister and Deputy Prime Minister Ishaq Dar in a telephone call, the foreign office said.
“Wherein the latter while offering condolences on the tragic death of eight Pakistanis in Iran assured full cooperation in bringing the perpetrators to justice and repatriating the mortal remains of the victims,” the statement said.
Thousands of Pakistanis, mostly from economically disadvantaged areas, frequently cross into Iran to take up informal work in sectors such as vehicle repair, construction and agriculture.
Pakistan’s southwestern Balochistan province, which borders Iran and Afghanistan, has faced a low-level insurgency for nearly two decades. Baloch separatist groups accuse the central government of exploiting the region’s natural resources such as gold and copper, without providing benefits to the local population.
Islamabad denies these allegations, asserting that it is committed to improving the lives of Baloch residents through various development projects.

Topics: Pakistan Iran Pakistani nationals Pakistan Iran border

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Pakistan may import crude oil from US to lower tariff burden — official

Pakistan may import crude oil from US to lower tariff burden — official
Updated 16 April 2025
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Pakistan may import crude oil from US to lower tariff burden — official

Pakistan may import crude oil from US to lower tariff burden — official
  • Countries are scrambling to find ways to lower US tariff burdens, which include buying more American oil
  • High-level Pakistani delegation is scheduled to travel to US to discuss American tariffs, trade imbalance
Updated 16 April 2025
Ismail Dilawar

KARACHI: Pakistan’s government is mulling “very good options” which range from importing crude oil from the United States (US) to abolishing tariffs on American imports, an official privy to the matter said on Wednesday, as Islamabad attempts to offset a trade imbalance that has triggered higher tariffs from Washington.
US President Donald Trump has imposed a 10 percent baseline tariff on all imports to the US and higher duties on dozens of other countries. Pakistan faces a 29 percent tariff due to a trade surplus with the US of about $3.6 billion, although that is subject to the 90-day pause Trump announced last week.
The US is the largest buyer of Pakistan’s textile goods, importing goods worth $5.43 billion last year through June, according to State Bank of Pakistan. In return, cash-strapped Pakistan imported $1.88 billion worth of American goods, resulting in the trade imbalance.
Countries are scrambling to find ways to lower their US tariff burdens, and Pakistan is no different. Pakistan’s Finance Minister Muhammad Aurangzeb said last week Islamabad will send a high-level delegation to Washington to discuss the American tariffs.
“There have been talks of Pakistan potentially importing oil, soya been (oil) and cotton from the US. That’s already it,” an official who spoke to Arab News on condition of anonymity as he was not authorized to speak to media, said.
The finance ministry did not respond to Arab News’ request for a comment till the filing of this report.
The official said the Pakistani delegation will inquire about the expectations of the American government regarding trade, which could include abolishing duties or non-tariff barriers against US products.
“Or they may ask us to buy more cotton from them,” the official said. 
A senior official from Pakistan’s commerce ministry who spoke on condition of anonymity as well, said the discussions were at an “immature stage” and further meetings would be held to finalize them. 
“What decisions are taken, what we offer to them, all options are being examined,” he said. “Everything is on the cards but what is finalized, that cannot be said right now.”
Pakistan spends about $17 billion annually on oil imports, most of which come from the United Arab Emirates and Saudi Arabia. Pakistan is also counted among the largest buyers of cotton, which it uses as raw material for its huge textile industry. Most of Pakistan’s cotton imports come from the US.
As per official data, Pakistan spent more than half a billion dollars ($578 million) last year on the import of 204,890 tons of raw cotton and 119,845 tons of soya bean oil after the local harvest was found to be in poor quality.
In 2023, Pakistan began buying discounted Russian crude oil banned from European markets due to Russia’s war in Ukraine. Muhammad Waqas Ghani, head of research at the Karachi-based JS Global Capital Ltd., said Pakistan faces limitations in diversifying its product slate when it comes to Russian crude oil.
He said this was because Russian crude oil yields a higher output of furnace oil. a less desirable fuel in the country’s evolving energy mix. 
“Importing US crude could offer access to a wider range of crude grades, better aligned with Pakistan’s long-term goal of phasing out furnace oil,” Ghani explained. “This move would also open doors for improved trade terms and potentially pave the way for tariff relief which is our primary objective for now.”
‘OTHER VERY GOOD OPTIONS’
Pakistan’s cotton production has been hit hard by low quality of seeds and climate-induced calamities such as floods caused by excessive rains.
“Apart from that (US oil import) there are other very good options which are being discussed,” the official said. 
However, he confirmed that none of these options had been finalized yet as the delegation would want to meet the American officials and gauge Washington’s expectations.
“Let’s listen to them first,” he said. 
Pakistan’s financial experts and independent think tanks have advised Islamabad to establish trade agreements with emerging economies such as Africa or the Central Asian Republics (CARs) or reinforce existing partnerships with China or the Middle East. 
Financial experts have also called upon the country to use America’s imposition of tariffs as an opportunity and diversity its exports market to other regions to mitigate potential losses.

Topics: Pakistan US Ties Pakistan economy Pakistan oil refinery US tariffs Trump tariffs

Intense hailstorm smashes windows, damages vehicles in Pakistan’s capital

Intense hailstorm smashes windows, damages vehicles in Pakistan’s capital
Updated 51 min 50 sec ago
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Intense hailstorm smashes windows, damages vehicles in Pakistan’s capital

Intense hailstorm smashes windows, damages vehicles in Pakistan’s capital
  • Islamabad district administration says assessing damages caused by hailstorm in capital city
  • Met Office forecasts more rain in Islamabad, Rawalpindi, and its surrounding areas today
Updated 51 min 50 sec ago
Muhammad Ibrahim

ISLAMABAD: An intense hailstorm and heavy rainfall battered Pakistan’s capital Islamabad and its surrounding areas on Wednesday evening, leaving several vehicles damaged and house windows smashed. 
Footage on social media showed hailstones raining from the sky in Islamabad during Wednesday evening. Several Islamabad residents posted videos of their car windscreens smashed while others shared images of the windows of their houses damaged by hails. 
Islamabad district administration said in a statement that its emergency teams were deployed to manage traffic and drain rainwater accumulated on the streets. 
“The extent of the damage caused by the hailstorm is still being assessed,” Islamabad administration spokesperson said in a statement. “There are reports of broken windows of vehicles and houses in various areas.”

Vehicles drive past during a hailstorm in Islamabad on April 16, 2025. (AN Photo)

He added that rescue teams were immediately dispatched to key highways, while drainage work was already underway in several parts of the city to prevent water from accumulating on the roads.
An Islamabad resident told Arab News his car had been significantly damaged by the hailstorm. 
“It would cost me around $178 (Rs50,000) to repair the windscreen, windows and side mirrors,” Ahmed Qureshi, a resident of the city’s Red Zone, told Arab News. “My vehicle will also need to be repainted to fix the dents caused by the hailstorm.”

Shattered glass strewn around mats is pictured as Muslims offer evening prayers at the Faisal Mosque in Islamabad on April 16, 2025, following heavy hailstones that severely damaged solar infrastructure, vehicles and residential property. (AFP)

Several mechanic shops in Islamabad’s G-6 Markaz area were swamped with concerned citizens inquiring about the cost of new windshields.
Muhammad Ali, a mechanic, told Arab News three types of windshields were available for Toyota and Honda cars. These cost from $57-$135 (Rs16,000 to Rs38,000), adding that it takes about 20 minutes to install one.
“The windshield supplier isn’t answering his phone due to the overwhelming number of calls he has received,” he said. 
The Pakistan Meteorological Department has forecast rain with thunderstorm in Islamabad, Rawalpindi, Attock and other parts of of Punjab on Wednesday evening.

Topics: Islamabad weather

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Iraq proposes sea link between Karachi and Basra to strengthen trade routes

Iraq proposes sea link between Karachi and Basra to strengthen trade routes
Updated 16 April 2025
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Iraq proposes sea link between Karachi and Basra to strengthen trade routes

Iraq proposes sea link between Karachi and Basra to strengthen trade routes
  • Iraqi Consul General Maher Mjhid Jejan visits Karachi Chamber of Commerce and Industry’s office to meet its leadership
  • Jejan hoped Pakistani exporters, investors take advantage of Iraq’s opportunities, explore its market more actively, says KCCI
Updated 16 April 2025
Arab News Pakistan

ISLAMABAD: Iraq’s Consul General Maher Mjhid Jejan has proposed a sea link between Pakistan’s southern port city of Karachi and Basra in a bid to improve logistics and strengthen trade routes, the Karachi Chamber of Commerce and Industry (KCCI) said on Wednesday.
Relations between Pakistan and Iraq have received a boost with a number of ministerial-level exchanges in recent years. The two countries have held discussions on enhancing defense and law enforcement cooperation, focusing on counterterrorism, counternarcotics and intelligence-sharing. Pakistan has attempted to strengthen trade, investment and cooperation in priority sectors with regional allies in recent months as it attempts to attract international investment to achieve sustainable economic growth.
Jejan visited the KCCI’s office on Wednesday during which he met the organization’s leadership. Talks between the two sides focused on strengthening business relations between and encouraging investment.
“He also proposed that a sea link between Basra and Karachi could play a key role in bringing the business communities of both countries closer together,” the KCCI said in a statement. “This connection could improve logistics and strengthen trade routes.”
Jejan said Iraq has introduced new investment laws designed to attract foreign investors, adding that these laws will be shared with the KCCI to help Pakistani businesses understand the opportunities available.
“He recognized the high quality of Pakistani products and expressed hope that Pakistani exporters and investors will explore the Iraqi market more actively,” the statement said.
The Iraqi consul general said his country is witnessing rapid development and offers immense potential for trade and investment. He encouraged Pakistani businessmen to visit Iraq and see first-hand the “peaceful and stable environment” in the country.
KCCI Senior Vice President Zia ul Arfeen told Jejan that Pakistan’s exports to Iraq stood at $54.29 million in FY24 while its imports from Iraq amounted to $145.46 million. 
“He said that this trade volume is far below the actual potential and emphasized the need for both countries to simplify customs procedures, promote ease of doing business, and expand the range of tradable goods and services,” the KCCI said. 
Arfeen said establishing an oil pipeline between Basra and Pakistan’s southwestern coastal city of Gwadar could create an important trade corridor for Iraq to access other Asian markets.

Topics: Karachi Chamber of Commerce and Industry Pakistan Iraq Ties

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