President Donald Trump has imposed a 44% tariff on Sri Lankan goods, citing it as a reciprocal action against Sri Lanka’s high trade barriers on U.S. products. This tariff impacts a significant portion of Sri Lanka’s exports. The announcement has caused declines in global stock markets and has prompted fears of a potential recession in the U.S.
The United States, under the leadership of President Donald Trump, has imposed a 44% tariff on Sri Lankan imports. This decision is a reciprocal measure against Sri Lanka, which has an 88% tax rate and various trade barriers impacting U.S. exports. As the largest export market for Sri Lanka, the U.S. accounts for approximately 23% of the nation’s merchandise exports, valued at $3.4 billion in 2024.
The implementation of a 44% tariff on Sri Lankan goods by the United States is expected to have significant repercussions on both economies, particularly on Sri Lanka’s apparel industry. The widening trade deficit and stock market declines manifest the broader implications of protectionist policies and economic tensions.
Original Source: sundaytimes.lk
