SL tells US ready to reduce import tariffs

Saturday, 5 April 2025 01:27 - - {{hitsCtrl.values.hits}}

Govt. pledges pro-business reforms to boost trade and investment
Expresses concern on recovery efforts amid export exposure and potential slowdown in global demand
Stands ready to engage with US administration at earliest opportunity to explore ways to manage trade balance in fair manner

President Anura Kumara Disanayake

US President Donald Trump

Sri Lanka yesterday announced its readiness to reduce tariff and non-tariff barriers, following the US Government’s decision under its reciprocal tariff policy.

“We are committed to substantially reducing tariff and non-tariff barriers that hinder trade and investment. Improving the ease of doing business remains a top priority of the Government, as we strive to create an environment that encourages innovation, fosters commercial partnerships, and unlocks opportunities for both nations,” the Finance Ministry noted in a statement.

It added that the Government stands ready to engage with the US administration at the earliest opportunity to explore ways to manage the trade balance in a fair manner.

“The Government recognises the evolving trade landscape, with the US looking to address trade imbalances through reciprocal tariffs. This tariff is set at 44%, which is significant as Sri Lanka exports $ 3 billion to the US,” it noted.

“Sri Lanka is engaged in an International Monetary Fund (IMF) Extended Fund Facility (EFF) since March 2023 as part of our recovery from the unprecedented economic crisis and has successfully completed the Third Review of the program.

In this context, we appreciate the steadfast support extended by the US in supporting Sri Lanka’s economic recovery – in particular, the support for the external debt restructuring efforts. We have now stabilised our economy and are on a steady growth path of 5% in 2024. Considering our export exposure and potential slowdown in global demand, we are concerned that our recovery path could be constrained.”

The Government reiterated its strong commitment to deepening economic ties with the US, a long-standing friend and trusted trading partner.

“By working together, our countries have the opportunity to usher in a new era of growth and shared prosperity for both our nations,” the statement added.