Colombo: After the US’s 30 per cent tariff on all Sri Lankan imports, the island nation’s economy got a boost Friday as the UK government announced it to allow garments manufactured here to enter Britain tariff-free.
“This is a win for the Sri Lankan garment sector and for UK consumers,” British High Commissioner in Colombo Andrew Patrick said.
The UK is Sri Lanka’s second-largest export market after the US.
The announcement comes as the UK government’s liberalised rules of origin, which will benefit developing countries, were launched Thursday.
Meanwhile, reacting to US President Donald Trump’s tariff of 30 per cent, the country’s largest trade chamber said the high tariff would jeopardise thousands of jobs.
The chamber urged the government to pursue further negotiations with the US for a better outcome.
The Sri Lankan government Thursday said it would continue to engage with the US for a “mutually beneficial” outcome on the tariff that would come into force from August 1.
Secretary to the Sri Lankan Ministry of Finance Harshana Suriyapperuma said that the government’s response is to “continue to engage, assess the situation,” and get inputs from relevant stakeholders.
PTI
