The Ministry of Finance has announced plans to engage in continuous discussions with the United States in an effort to reduce the newly proposed 30% tariff on Sri Lankan exports.
According to an official statement issued by the Ministry, a virtual discussion on the matter was held yesterday (18) between the Secretary to the Ministry of Finance, Dr. Harshana Suriyapperuma, and other relevant government officials, along with representatives from the Office of the United States Trade Representative.
The decision to initiate ongoing discussions follows a formal written notification received by President Ranil Wickremesinghe from U.S. President Donald Trump on the 12th, outlining the imposition of the 30% tariff. The Sri Lankan government, recognizing the potential economic impact, is now moving to engage directly with U.S. authorities in hopes of negotiating a reduction in the proposed rate.
Foreign Minister Confirms Delegation Visit
Meanwhile, Minister of Foreign Affairs Vijitha Herath confirmed today (15) that a Sri Lankan delegation is scheduled to depart for the United States on the 18th for direct discussions concerning the tariff matter. The minister made this announcement while addressing the media after attending a ceremonial event in Colombo.
From State Secrets to Urgent Negotiations
This situation follows revelations made last week regarding sensitive communications tied to national economic concerns. Observers have questioned how an initially discussed 15% tariff has now escalated to 30%, and speculations have arisen regarding the government’s prior knowledge and internal communications.
Reports indicate that after President Wickremesinghe received the official letter from President Trump, copies of the communication also reached prominent Sri Lankan exporters via unofficial channels. Upon learning of the proposed tariff increase, leading business figures—already under pressure due to current economic challenges—expressed serious concern, fearing that the additional tax burden would threaten the viability of their industries.
Recognizing the urgency, these business leaders reportedly pressed the government to re-engage with U.S. officials and advocate for a reduced tariff rate. Given that the new tariff is scheduled to come into effect on August 1st, the government is now expediting negotiations.
However, in a noteworthy development, all further discussions between Sri Lankan and U.S. officials are scheduled to be held online.
