Sri Lanka Won’t Retaliate Against U.S. Tariff Threat

by Staff Writer 10-07-2025 | 5:29 PM

COLOMBO (News st); As Sri Lanka continues negotiations with the United States over newly imposed tariffs, Presidential Economic Advisor Duminda Hulangamuwa has clarified the government’s stance on a key clause in the letter from U.S. President Donald Trump. The clause warns that if Sri Lanka raises its own tariffs on U.S. goods, the United States will respond by increasing its 30% tariff rate.

“This clause was included in letters sent to all countries, not just Sri Lanka,” Hulangamuwa stated. “We have no intention of retaliating. That’s not the direction we’re pursuing.”

The advisor also confirmed that the 30% tariff announced by the U.S. is in addition to existing sectoral tariffs, not a replacement. “It’s an added layer on top of the current rates,” he said, responding to questions about whether the 30% was a standalone figure.

The U.S. has granted Sri Lanka a window until August 1 to continue negotiations, offering a chance to further refine the terms and potentially secure additional relief.