United States (US) President Donald Trump on Wednesday night announced that the US has concluded a deal with Pakistan, allowing both countries to work together on developing Pakistan’s vast oil reserves.

 

“We have just concluded a Deal with the country of Pakistan, whereby Pakistan and the United States will work together on developing their massive Oil Reserves,” President Trump wrote in a post on Truth Social.

 

“We are in the process of choosing the Oil Company that will lead this Partnership. Who knows, maybe they’ll be selling Oil to India someday!” the post read.

 

The announcement, however, does not make reference to a possible agreement on tariffs, taxes imposed on imported goods between Pakistan and the US.

 

According to the Ministry of Finance, the breakthrough came during Finance Minister Muhammad Aurangzeb’s meeting with the US Secretary of Commerce and the US Trade Representative. Pakistan’s Ambassador to the US, Rizwan Saeed Sheikh, and Commerce Secretary Jawad Paul were also in attendance.

 

The official statement said, “The purpose of the deal is to boost bilateral trade, improve market access, attract investment, and strengthen cooperation in areas of mutual interest.”

 

“Under the agreement, there will be a reduction in tariffs, particularly on Pakistani exports to the US, and a fresh start in economic cooperation between the two countries.

 

"The two sides will focus on energy, minerals, information technology, cryptocurrency, and other key areas,” the statement added.

 

Trump punishes India with 25 per cent tariff

 

Hours before announcing the deal with Pakistan, the US president said in a post on Truth Social that the US has done relatively "little business" with India over the years due to its extremely high tariffs, among the highest in the world. “They have the most strenuous and obnoxious non-monetary trade barriers of any country,” he added.

 

The US president also criticised New Delhi’s continued reliance on Russian arms and energy purchases. “They have always bought a vast majority of their military equipment from Russia and are Russia’s largest buyer of ENERGY…” the post read.

 

“India will therefore be paying a tariff of 25pc, plus a penalty for the above, starting on August 1,” the post concluded.