U.S. trade team to visit SL for talks on tariff implementation
Colombo, Sept, 4 (Daily Mirror) - A team from the Office of the United States Trade Representative will be in Sri Lanka by the middle of this month to assist the government authorities in working out modalities for the implementation of reciprocal tariffs, Daily Mirror learns.
The U.S. has slapped 20 percent tariffs on Sri Lankan goods entering its market under President Donald Trump’s sweeping global programme of tariffs. Sri Lanka’s rate is the same or similar to that of Bangladesh, Vietnam, Malaysia (19), Indonesia (19), Thailand (19) and Pakistan (19). India was slapped with 50 percent tariffs, higher than usual, because it did not agree to stop oil purchases from Russia.
A source familiar with the upcoming visit of the U.S. team said tariff implementation will be assessed.
“They will look into technical aspects of tariff implementation,” the source said.
U.S. total goods trade (exports plus imports) with Sri Lanka was an estimated $3.4 billion in 2024. U.S. goods exports to Sri Lanka in 2024 were $366.7 million, up 4.6 percent ($16.2 million) from 2023. U.S. goods imports from Sri Lanka in 2024 totaled $3.0 billion, up 6.1 percent ($172.7 million) from 2023. The U.S. goods trade deficit with Sri Lanka was $2.6 billion in 2024, a 6.3 percent increase ($156.5 million) over 2023, according to statistics from the Office of Trade Representative.
Sri Lanka has agreed to purchase more from the U.S. to reduce the trade gap. Currently, the Ceylon Petroleum Corporation (CPC) has successfully tested U.S. WTI crude oil samples to be used in Sri Lanka. After approval from the Cabinet, the CPC is planning to endorse this crude variety to be imported to Sri Lanka depending on price competitiveness.
Sri Lanka currently uses Murban crude oil. However, it is not yet clear about other areas agreed upon by Sri Lanka in seeking tariffs reduction from the originally proposed 44 percent to 20 percent.
