The Pakistan Textile Council (PTC) on Tuesday expressed deep concern over the continued deterioration in Pakistan’s external trade position, citing data from November 2025, which shows a substantial contraction in exports, rising import pressures, and a widening cumulative trade deficit.
According to the PTC, exports in November 2025 dropped sharply to $2.398 billion, a 15.8% decline compared to October 2025. In rupee terms, exports fell 15.9%, reflecting a broad-based slowdown in demand and persistent domestic cost pressures.
At the same time, imports decreased by 13.7% month-on-month, reaching $5.253 billion. However, the reduction was insufficient to offset the export slump. Consequently, the monthly trade deficit stood at $2.855 billion, an 11.9% improvement over October due only to lower imports, not export strength.
Year-on-year, per the PTC, exports fell 15.35% in dollar terms during November 2025 compared to November 2024 while imports increased 5.42%, widening the trade deficit by 32.8%. The year-on-year divergence signals weakening competitiveness, eroding industrial margins, and demand-side stress across global markets.
For the first five months (July-November) of the ongoing fiscal year, cumulative exports stood at $12.84 billion, down 6.39% from $13.72 billion during the same period last year. The period saw imports increase by 13.26%, reflecting a 37.2% increase to the cumulative trade deficit, which has reached $15.47 billion.
In its statement, the PTC warned the sustained decline in exports—despite a moderate reduction in global freight costs and improved order visibility in competitor markets—reflected structural challenges faced by Pakistan’s export-oriented industries. It specifically noted high energy tariffs and inconsistent power supply; elevated financial costs; exchange rate volatility; taxation burdens relative to regional competitors; erosion of working capital due to delayed refund payments; and rising input costs and weak domestic value-addition capacity.
The growing import bill, driven by essential raw materials and capital goods, further highlights the need for a coherent industrial and trade policy framework, it stressed.
The PTC has recommended stabilizing and reviving the export sector by restoring regionally competitive energy pricing for export-oriented industries; ensuring policy continuity and predictability, particularly regarding taxation and refunds; strengthening export financing at viable rates to ease liquidity constraints; fast-tracking implementation of the Prime Minister’s Working Groups on Energy, Taxation, Tariffs to address structural bottlenecks; and promoting investment in productivity and upgrading technology to improve cost competitiveness.
The November 2025 trade data underscores that Pakistan’s economic stability depends directly on export performance, emphasized the PTC. Without immediate and targeted interventions, the downward trend in exports could translate into industrial slowdown, job losses, and further external account pressures. The representative body has reiterated its commitment to working with the Government of Pakistan to restore export competitiveness and support Pakistan’s path toward sustainable, export-led growth.