Pakistan and Turkey have reaffirmed their commitment to boosting bilateral trade to $5 billion, during a high-level conference in Islamabad on July 9, 2025, as part of the seventh session of the Pakistan-Turkey High-Level Strategic Cooperation Council (HLSCC).
The meeting, attended by Turkish Foreign Minister Hakan Fidan and Defense Minister Yaşar Güler alongside Pakistan’s Deputy Prime Minister and Foreign Minister Ishaq Dar, focused on deepening cooperation in trade, defense, energy, infrastructure, education, and culture.
During a joint press conference, Fidan announced the target of increasing commercial relations to $5 billion, emphasizing collaboration in energy, mining, education, and transportation. Dar highlighted the progress of 12 joint standing committees under the HLSCC, noting that all committees have either met or are scheduled to meet soon to advance the trade agenda. The leaders stressed the importance of strengthening air, sea, land, and railway connectivity, including technical activities to support the Islamabad-Tehran-Istanbul railway.
The conference also addressed regional stability, with Fidan praising Pakistan’s restraint during recent tensions with India in April-May 2025, following a US-mediated ceasefire. Both nations reaffirmed mutual support on issues like Kashmir and Palestine, with Dar expressing gratitude for Turkey’s consistent diplomatic backing. Defense cooperation was a key focus, with discussions on capacity building, counterterrorism, and industry-to-industry collaboration, including potential joint projects in drone production and naval capabilities.
Pakistan’s investor-friendly policies were highlighted, with Dar inviting Turkish companies to expand investments in Special Economic Zones (SEZs) and technology sectors like AI and e-commerce. The talks built on 24 MoUs signed in February 2025, aiming to transition the existing Preferential Trade Agreement (PTA) into a Free Trade Agreement (FTA) to balance trade, which reached $1.4 billion in 2024. Pakistan’s exports to Turkey, primarily textiles and rice, and Turkey’s exports of machinery and energy products are set to grow through these efforts.
Economic experts note that while the $5 billion target is ambitious, challenges like Pakistan’s trade deficit with Turkey ($479 million in 2021) and reliance on low-value exports must be addressed. Negotiating deeper trade agreements and reducing non-tariff barriers could boost Pakistan’s exports by 33% in the short term, particularly in agriculture and textiles. With ongoing efforts in connectivity, such as the Islamabad-Tehran-Istanbul railway, and technology transfers, both nations are poised to strengthen their strategic partnership.
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