Harsha urges bipartisan push for better US trade deal amid tariff concerns

Friday, 11 July 2025 02:39 -     - {{hitsCtrl.values.hits}}

  • Welcomes drop from 44% to 30% tariff, but warns it’s still too high to stay competitive
  • Notes Sri Lanka’s apparel sector risks 350,000 jobs and $ 2 b in exports
  • Warns competitors like Vietnam (20%) and India (26%) have better terms
  • Criticises Govt. for lacking full-time trade negotiation team since November 2024
  • Offers Opposition support to secure stronger trade deal before 1 August deadline

The main Opposition party, Samagi Jana Balawegaya (SJB) MP Dr. Harsha de Silva yesterday called for urgent cross-party collaboration to renegotiate a more favourable trade agreement with the US, warning that the recently revised 30% tariff on Sri Lankan exports still poses a significant threat to the country’s economic stability and key industries, particularly apparel.

Taking to ‘X,’ he welcomed the reduction in US import tariffs on Sri Lankan exports from the initially proposed 44% to 30%, but cautioned that the new rate may still not be sufficient to maintain the country’s competitiveness. 

“With 350,000 apparel jobs and 600,000 linked roles at stake—plus over $ 2 billion in export revenue—we must outperform our key rivals. Vietnam sits at 20%, Bangladesh at 35% (still negotiating), and India is pushing aggressively. This 30% stacks on top of existing Most-Favoured-Nation (MFN) tariffs (0-25%, averaging ~12% for key Harmonised System codes), lagging behind competitors,” he pointed out.

Dr. de Silva claimed that his repeated calls to the Government to leverage Sri Lanka’s expertise for a stronger deal have been ignored. 

“Alarmingly, the international trade negotiator position remains vacant since November 2024, with no dedicated team in place—just part-time negotiators. We desperately need a robust national export strategy to guide us,” he added.

Dr. de Silva expressed concern that Sri Lanka is lagging in both diplomacy and institutional preparedness, especially as the deadline for finalising trade terms with the US is set to take effect on 1 August. 

“The Opposition stands ready to support the Government, setting aside political affiliations, to get this right for Sri Lanka,” he noted.

 

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.

COMMENTS

Discover Kapruka, the leading online shopping platform in Sri Lanka, where you can conveniently send Gifts and Flowers to your loved ones for any event including Valentine ’s Day. Explore a wide range of popular Shopping Categories on Kapruka, including Toys, Groceries, Electronics, Birthday Cakes, Fruits, Chocolates, Flower Bouquets, Clothing, Watches, Lingerie, Gift Sets and Jewellery. Also if you’re interested in selling with Kapruka, Partner Central by Kapruka is the best solution to start with. Moreover, through Kapruka Global Shop, you can also enjoy the convenience of purchasing products from renowned platforms like Amazon and eBay and have them delivered to Sri Lanka.