Karachi camera shop

In addition to its southern coastline along the Arabian Sea and Gulf of Oman, Pakistan shares land borders with China in the northeast, India to the east, Iran to the southwest and Afghanistan to the west.

Pakistan shipped US$30.7 billion worth of exported products around the world in 2025. That dollar amount represents a 6.2% increase compared to $28.9 billion five years earlier in 2021.

Year over year, the value of exports from Pakistan slowed by -5.5% starting from $32.5 billion in 2024.

Applying a continental lens, more than a third 36.7% of Pakistan’s exports by value was delivered to European countries while 32.6% was sold to importers also based in Asia.

Pakistan shipped another 21% worth of goods to buyers in North America.

Smaller percentages went to customers located in Africa (6.9%), Latin America (1.7%) excluding Mexico but including the Caribbean, then Oceania (1%) led by Australia and New Zealand.

Over four-fifths (82.9%) of Pakistani exports in 2025 was delivered to the above major trade partners.

Among the listed trading partners, Tanzania increased its import purchases from Pakistan at the fastest rate with via its 73.8% gain from 2024 to 2025.

In second place was Denmark (up 16.5%) trailed by the United Arab Emirates (up 8.7%), Spain (up 8.3%) then the United States of America (up 5.4%).

Year over year, declines were recorded by importers of products from Pakistan by: Malaysia (down -32.7% from 2024), Sri Lanka (down -27.5%), Afghanistan (down -27%), Kenya (down -18.6%) and Belgium (down -12.6%).

Pakistan recorded an overall -US$34.3 billion trade deficit during 2025. That dollar amount results from a 42.7% expansion from -$24.1 billion in red ink one year earlier in 2024.

As defined by Investopedia, a country whose total value of all imported goods is higher than its value of all exports is said to have a negative trade balance or deficit.

It would be unrealistic for any exporting nation to expect across-the-board positive trade balances with all its importing partners. Similarly, that export country doesn’t necessarily post a negative trade balance with each individual partner with which it exchanges exports and imports.

Pakistan incurred the highest trade deficits with the following countries:

Among Pakistan’s trading partners that cause the greatest negative trade balances, Pakistani deficits with Brazil (up 589.4%), South Korea (up 54.8%) and Japan (up 51.5%) grew at the fastest pace from 2024 to 2025.

These cashflow deficiencies clearly indicate Pakistan’s competitive disadvantages with the above countries, but also represent key opportunities for Pakistan to develop country-specific strategies to strengthen its overall position in international trade.

Based on Investopedia’s definition of net importer, a country whose total value of all imported goods is lower than its value of all exports is said to have a positive trade balance or surplus.

Pakistan earned the highest trade surpluses with the following countries:

Among Pakistan’s trading partners that generate the greatest positive trade balances, Pakistani surpluses with Poland (up 4.9%) and Spain (up 2.2%) grew from 2024 to 2025.

These positive cashflow streams clearly indicate Pakistan’s competitive advantages with the above countries, but also represent key opportunities for Pakistan to develop country-specific strategies to optimize its overall position in international trade.