U.S. President Donald Trump has announced a 44% tariff on goods imported from Sri Lanka, as part of a broader trade policy aimed at addressing the country’s trade imbalance.
The new tariff, revealed yesterday (02), is set to take effect from April 5. This move comes as part of a sweeping decision by the U.S. administration to impose reciprocal tariffs on multiple countries worldwide.
According to official sources, the revised tariff list covers more than 60 countries, with higher tariffs specifically targeting nations that maintain a trade surplus with the United States. Under this policy, a general 10% tariff will apply to all imports, while countries with significant trade surpluses will face higher rates.
Sri Lanka is among the top five nations subject to the highest tariffs under the new regulations. Other countries affected include:
Cambodia – 49% tariff
Vietnam – 46% tariff
Bangladesh – 37% tariff
Thailand – 36% tariff
China – 34% tariff
India – 26% tariff
European Union – 20% tariff
Prior to this decision, Sri Lankan imports to the U.S. were subject to a 12.2% tariff. Economic analysts warn that the new 44% tariff could severely impact Sri Lanka’s export sector, particularly its apparel industry, which constitutes the largest share of exports to the U.S.
In 2023, Sri Lanka exported goods worth over $3 billion to the United States, with $346 million worth of exports recorded in January 2024 alone. With the sharp increase in tariffs, industry experts fear that Sri Lankan exports—especially in the apparel sector—could face significant setbacks in the coming months.
