Colombo, Sri Lanka – The Sri Lanka Chamber of Commerce (SLCC) has expressed serious concern over the potential economic fallout from the United States’ new tariff policy, warning that it could jeopardize the country’s economic recovery and undermine the ongoing agreement with the International Monetary Fund (IMF).
In an official statement, the Chamber emphasized that Sri Lanka exports approximately $3 billion worth of goods to the United States annually, accounting for 25% of the country’s total export earnings. The U.S. is currently Sri Lanka’s largest export destination.
The statement warned that the sudden increase in U.S. tariffs—introduced under President Donald Trump’s reciprocal trade policy—will have widespread implications on global supply chains, directly affecting Sri Lankan exporters and the long-term viability of trade relationships with both U.S. and European markets.
The Chamber also welcomed the recent move by President Anura Kumara Dissanayake to appoint a special committee to assess the impact of the U.S. decision and recommend appropriate countermeasures.
“While the appointment of the committee is a step in the right direction, Sri Lanka must act swiftly and strategically to protect its trade interests and preserve the gains made through the IMF-backed economic stabilization program,” the statement said.
The Chamber further noted that a disruption in trade flows caused by high tariffs could put additional pressure on the Central Bank’s monetary policy, especially at a time when the country is working closely with the IMF to implement structural reforms and restore macroeconomic stability.
With the tariff hike threatening key sectors such as apparel, rubber products, and tea, the SLCC urged the government to engage in diplomatic dialogue with the United States and simultaneously pursue diversification of export markets to reduce long-term vulnerability.
