US Tariff Policy NOT Country Specific; Sri Lanka Seeks Relief Before April 9th

COLOMBO (News 1st); Deputy Minister of Economic Development, Anil Jayantha commenting on the US decision on reciprocal tariffs, clarified that the policy does not specifically target Sri Lanka but applies to all US trading partners.

The US has raised tariffs based on trade deficits with various countries, including Algeria, Lesotho, Laos, Madagascar, Vietnam, and Myanmar.

"This report does not specifically target Sri Lanka,"Jayantha stated. "The US has imposed these tariffs based on trade deficits rather than the specific circumstances of each country."

Jayantha emphasized that there is a misconception in society that Sri Lanka is being singled out and that the government failed to intervene.

He assured that Sri Lanka has already exchanged views with the US and is negotiating for a reduction in tariffs before the implementation date on April 9th.

"Sri Lanka is facing an extraordinary situation," Jayantha explained. "Although we maintain a favorable trade deficit, we are engaged in an IMF-supported program and gradually reaching stability after an economic downturn."

The Deputy Minister highlighted the potential negative impact on the apparel and food export sectors, noting that increased tariffs could lead to higher export costs, loss of competitive edge in the US market, and decreased export revenue.

"We are engaged in discussions and will continue to engage in talks," Jayantha said. "There are several alternatives, including the GSP Plus preferential tariff system, and we can simplify our tariff structure and engage in more discussions."