United States and Pakistan to Maintain Collaboration on Mutual Benefits

United States and Pakistan to Maintain Collaboration on Mutual Benefits

In a significant development, Pakistan and the United States have strengthened their bilateral relations, particularly through a landmark trade agreement that reduces tariffs on Pakistani exports, expands market access, and fosters cooperation in key sectors such as energy, critical minerals, and mining. This deal, negotiated by Pakistan's Finance Minister and US Commerce officials, marks a new era of economic collaboration including oil exploration and development of mineral resources.

The cooperation now extends beyond trade to strategic partnership dimensions, notably involving military-to-military relations. The meeting hosted by US President Donald Trump for Pakistan's military chief in June 2025 underscored Pakistan’s role in averting escalation during the May 2025 ceasefire between India and Pakistan. This engagement is seen as part of a broader US effort to stabilize South Asia and manage its geopolitical interests vis-à-vis China and the India-Pakistan dynamics.

Regarding the role in the ceasefire between India and Pakistan, the US played a diplomatic and stabilizing role in the May 2025 conflict, with Pakistan credited for cooperating closely with the US to help prevent further escalation. The private luncheon hosted by President Trump for Pakistan's military chief symbolized US recognition of Pakistan’s efforts in conflict de-escalation. This interaction suggests a nuanced shift where the US sees Pakistan as a key interlocutor in maintaining South Asian peace, alongside their economic ties.

The trade agreement, which covers areas like energy, critical minerals, IT, and cryptocurrency, is expected to boost Pakistan's economy and attract increasing American investment attention, reflecting their mutual economic and strategic interests. The conversation between Pakistan's Foreign Minister Ishaq Dar and US Secretary of State Marco Rubio last month emphasized the need for expanding trade and ties in critical minerals and mining.

The meeting between Dar and Rubio, which took place last month, and the subsequent phone call between the two officials on Monday, discussed a range of bilateral matters and international issues. The ceasefire between India and Pakistan, a significant development in the ongoing tensions between the two countries, was a topic discussed during the meeting and was facilitated by Washington's talks with both sides, according to Trump's claim.

The Foreign Office stated that Dar appreciated the pivotal role of Trump and Rubio in de-escalating tensions between Pakistan and India by facilitating a ceasefire. The agreement to continue cooperation on areas of mutual interest was also made during the phone call. The FO made the statement following the meeting and phone call, which occurred on Monday.

In summary, the US-Pakistan partnership is evolving, with a shift from transactional engagements towards a longer-term strategic and economic alignment. The landmark trade agreement, growing US interest in Pakistan’s oil reserves and mineral sectors, and the renewed military and economic cooperation under the Trump administration, all indicate a deeper relationship between the two nations. The ceasefire between India and Pakistan, facilitated by the US, is a testament to this newfound partnership, with both nations agreeing to continue cooperation on areas of mutual interest.

1. The newly established strategic partnership between Pakistan and the United States includes a focus on policy-and-legislation and politics, as evidenced by the conversation between Pakistan's Foreign Minister Ishaq Dar and US Secretary of State Marco Rubio last month.
2. The US-Pakistan partnership's evolution, marked by a shift from transactional engagements to a longer-term strategic and economic alignment, is in part reflected in the growing credit given to Pakistan for its role in conflict-resolution and stabilization efforts, such as averting escalation during the May 2025 ceasefire between India and Pakistan.
3. In light of the landmark trade agreement between the two nations, there is a growing interest from the US in investing in Pakistan's oil reserves and mineral sectors, which includes critical minerals and mining, thereby providing increased economic opportunities for both countries.
4. The US-Pakistan relationship also now encompasses military-to-military relations, as seen in the meeting hosted by US President Donald Trump for Pakistan's military chief in June 2025, which demonstrated a commitment to working together in managing regional war-and-conflicts and maintaining a general-news peace within South Asia.

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