The European Union (EU) is one of Pakistan’s largest trading partners, accounting for over 15% of its total exports.[1] This is notwithstanding the fact that overall exports to the EU from Pakistan dropped slightly to $6.1 billion from $6.3 billion in 2024.[2]
The trade relationship is characterized by challenges such as limited export diversity, compliance with stringent EU standards, and an evident lack of institutional readiness. Pakistan’s economic agenda with the EU can be upgraded by addressing foundational issues, leveraging new opportunities in green and digital economies, and adopting strategic policy reforms.
