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Home » Pakistan, Iran set $8bn annual trade target in bid to deepen bilateral ties
Pakistan

Pakistan, Iran set $8bn annual trade target in bid to deepen bilateral ties

i2wtcBy i2wtcAugust 3, 2025No Comments5 Mins Read
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Prime Minister Shehbaz Sharif reaffirmed Pakistan’s principled stance that Iran has the right to pursue nuclear technology for peaceful purposes under the UN Charter, as he hosted Iranian President Dr Masoud Pezeshkian in Islamabad on Sunday.

“Iran has every right to acquire nuclear power for peaceful purposes. Pakistan stands with Iran on its stance of pursuing nuclear energy for peaceful objectives. Everyone is a friend in good times; a true friend is the one who holds your hand in difficult times,” Sharif said during a joint press stakeout.

Shehbaz Sharif strongly condemned what he called “recent unprovoked Israeli aggression against Iran,” saying it was “totally uncalled for” and had been denounced “not only by the government but also by the people of Pakistan.”

He noted Islamabad and Tehran’s shared view that “no form of this menace [terrorism] will be tolerated, whether on Pakistani soil or in Iran.”

On Gaza, the prime minister urged the international community to unite in calling for an immediate ceasefire. He praised Iran for its “unwavering support for the innocent Palestinian people, who continue to suffer under Israeli brutality,” and reaffirmed Pakistan’s solidarity with the Palestinians.

Sharif drew a parallel between Gaza and Indian Illegally Occupied Jammu and Kashmir (IIOJK), saying the people there “continue to suffer Indian brutalities” and must be granted “their inalienable right to self-determination.” He pledged Pakistan would “always raise its voice for the Kashmiri people” and thanked Iran for supporting their right to freedom.

President Pezeshkian thanked Pakistan for standing with Iran during recent Israeli aggression and recited poetry by Allama Iqbal to underline “a message of unity and brotherhood.” He said Iran regarded Pakistan “not only as a neighbour but as a brother,” and highlighted “serious and joint efforts” to deepen bilateral relations in all dimensions.

He noted that the agreements and memoranda of understanding exchanged on Sunday were a “manifestation” of these efforts, and invited Sharif to visit Tehran to renew talks and review progress on bilateral initiatives.

Both sides reaffirmed their commitment to combat terrorism and ensure peace along their shared border, which they said would pave the way for regional development. 

In a joint statement, Pakistan and Iran “strongly condemned the ongoing Israeli aggression and genocide in Gaza” and called for its immediate cessation, urging greater unity among Muslim nations.

$8 Billion Trade Deal

Earlier, Pakistan and Iran have agreed to set a target of $8 billion in annual bilateral trade, aiming to enhance economic cooperation and regional connectivity.

The development came during a meeting between Pakistan’s Federal Minister for Commerce, Jam Kamal Khan, and Iranian Minister for Industry, Mine and Trade, Mohammad Atabak, in Islamabad.

Both sides agreed to give a new direction to bilateral trade and accelerate the pace of cooperation. Kamal stated that it is time to accelerate trade ties with Iran and transform geographical proximity into economic advantage.

The ministers also stressed the importance of enhancing cross-border cooperation and agreed to expedite the upcoming session of the Pakistan-Iran Joint Economic Commission.

The two sides welcomed growing trust between the Pakistani and Iranian business communities and launched a new series of B2B meetings to further collaboration.

The ministers discussed cooperation in agriculture, energy, livestock, logistics, and IT services, and highlighted the need to better utilise border facilities and trade corridors.

Kamal described Pakistan-Iran friendship as a symbol of trade, culture, and brotherhood, adding that economic cooperation is essential to strengthen fraternal relations.

Atabak noted that close ties between the two countries could bring stability to the region.

Deputy Prime Minister and Foreign Minister Ishaq Dar met Iranian President Dr Masoud Pezeshkian in Islamabad and reaffirmed Pakistan’s commitment to historic and brotherly ties with Iran, rooted in shared history, cultural heritage, faith, and mutual respect.

President Pezeshkian appreciated the support and expressed Iran’s desire to enhance cooperation in areas of mutual interest.

Prime Minister Shehbaz Sharif warmly received President Pezeshkian upon his arrival at the PM’s House on Sunday.

The Iranian president was given a guard of honour by a smartly turned-out contingent of the Pakistan Armed Forces. The national anthems of both countries were played.

Later, he was introduced to members of the federal cabinet. The prime minister also met members of the Iranian delegation.

President Dr Pezeshkian also planted a sapling in the lawn of the PM’s House.

Yesterday, Iranian President arrived in Pakistan on a two-day state visit to hold bilateral talks with the Pakistani leadership.

Read: Red carpet rolled out for Iran’s president

PM Shehbaz, DPM and Foreign Minister Muhammad Ishaq Dar and Minister for Information and Broadcasting Attaullah Tarar received the Iranian President and his delegation at the Nur Khan airbase.

Dr Pezeshkian is accompanied by a high-level delegation, including Iranian Foreign Minister Abbas Araghchi, senior ministers and other high-ranking officials.

Dr Pezeshkian will meet President Asif Ali Zardari and also hold delegation-level talks with the Pakistani Prime Minister and his cabinet ministers.

Defence ministers

The Honourable Minister for Defence of the Islamic Republic of Iran, Brig General Aziz Nasir-Zadeh, held a bilateral meeting with the Honourable Minister of Defence Khawaja Muhammad Asif in Islamabad.

During the meeting, both sides discussed matters of mutual interest, including regional security, counter-terrorism efforts, and avenues to enhance defence cooperation between the two neighbouring countries.

Read more: Govt measures help curb smuggling

Earlier, Pakistan had taken a host of strict measures to control the smuggling of commodities, including oil supplies from Iran, which led to an increase of up to 340% in legal trade.

Though the government has sprung into action to curb the smuggling of Iranian oil, the domestic oil industry claims the illegal trade has started rising again, sparking concerns among market players.



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