The United States Trade Representative (USTR) has published its annual report on foreign trade barriers that have erected Pakistan’s trade and investment policies, Internet restrictions and corruption, among other issues interfering with commercial operations.

The Office of the USTRs issued the National Trade Estimate Report (NTE) two days before the Trump administration rolled out mutual tariffs. It is the 40th report in an annual series that highlights significant foreign barriers to US exports, foreign direct investments and electronic trade.

The day was called “Liberation Day” by Trump, who signed a executive order that introduced a flat 10% duty on almost all nations and then additional tariffs for the countries accused of charging higher taxes on US goods.

The Trump administration imposed a 29% duty on Pakistani imports, in addition to a 10% baseline -Tarif, which was applied to all imports, brought the total duty on Pakistani products to 39%.

In his remarks, President Trump said, “Pakistan has charged us a 58% duty on our goods. Therefore, we impose a 29% duty on their products.”

The Ustr report divided trading barriers into several categories, including import policies, technical barriers, service barriers and electronic trade.

The report mentioned that Pakistan is routinely blocking access to Internet services to host content that is considered blasphemous or immoral, or because such services can be used to “undermine national security.”

“According to the law on the prevention of electronic crimes (PECA), Pakistan routinely blocks the entire social media platforms or requirements that sites geo -block positions considered illegal online content.”

An e-safety bill and the pending establishment of a digital rights protection authority and a national center for cyber investigations would increase the financial and criminal penalties associated with online speech, noted it.

“Pakistan has repeatedly suspended access to mobile data and certain online services in major cities in response to planned protests, large -scale demonstrations and other perceived turmoil. These suspensions undermine a free and open Internet and hinder trade in digital economy by limiting access to information and services and interfering with commercial operations. finishes.

According to the report, US companies have cited concern that Pakistan has introduced high tariffs and in some cases additional tasks on products such as cars and finished goods.

The report also stated that US exporters in Pakistan are facing non-unified customs rating, excessive documentation requirements and sanctions due to outdated billing rules, adding compliance burds.

“American companies have reported to be adversely affected by the customs rules 389 and 391. Customs rule 389 requires the placement of a physical invoice and packing list in the shipping container, while the Customs Roast 391 plays the responsibility for including such documents and responsibility for non -compliance, on the owner of the goods and the carrier.

“Such rules constitute compliance challenges for companies that use intermediaries, reorganization or storage of goods at different points during transit,” the report read.

It said US companies are facing currency limitations and bureaucratic obstacles in Pakistan, making it difficult for them to repatriate profits and dividends, “generally coinciding with the government’s focus on stucking outflow of US dollars.” However, by 2024, conditions improved “when Pakistan’s balance of payments is stabilized”.

The report added that US companies have experienced increased pressure from the Federal Board of Revenue (FBR), Pakistan’s tax authority, to prepay expected tax liabilities and “have expressed concern that many of their local competitors still do not pay taxes at all or enter into tax development”.

“The US government has repeatedly engaged in the Pakistani government on issues involving unreasonable and disproportionate taxation of US companies and continues to strengthen the importance of Pakistan expanding its tax base,” it said.

The report revealed that Pakistan remains on the US Special 301 monitoring list due to weak intellectual property (IP) enforcement, rising forgery and inconsistent decisions from IP courts.

“Although Pakistan has made gradual improvements to better coordinate his IP enforcement efforts and update its IPlove, there are still serious concerns, especially in IP enforcement,” it said.

The report also addressed the disputed question of Pakistan’s technical barriers in the packaging and labeling of imported foods, especially vegetable oils. US exporters have been facing significant challenges due to Pakistan’s strict halal certification requirements and its 66% durability rule, which continues to create uncertainty and operational difficulties for businesses.

The report also stated that US companies also found corruption and a weak legal system as “significant incentives” for foreign investment in Pakistan.