Sri Lanka, U.S. hold talks on trade, tariffs and regional stability

U.S. Assistant Secretary of State for South and Central Asian Affairs Paul Kapur met Sri Lankan President Anura Kumara Dissanayake at the Presidential Secretariat in Colombo on June 22, 2026 where they discussed bilateral relations, trade cooperation, and regional developments.

During the meeting, both sides reflected on 77 years of diplomatic relations between Sri Lanka and the United States, noting that ties between the two countries have expanded to include trade, defence, investment, and tourism exchanges.

According to the President’s Media Division (PMD), Kapur welcomed the existing cooperation between the two countries and reiterated the United States’ commitment to further strengthening bilateral relations.

The discussions also covered the situation in the Middle East. Both sides noted that recent developments appeared to be moving in a positive direction and expressed confidence that the peace agreement reached on June 19 could contribute to lasting peace in the region.

President Dissanayake recalled Sri Lanka’s humanitarian assistance to two vessels that encountered difficulties near Sri Lankan waters in March this year. He said the assistance was provided within the framework of international law. The PMD stated that the measures taken by Sri Lanka were commended by the U.S. Assistant Secretary of State.

The President also reaffirmed Sri Lanka’s commitment to supporting efforts to maintain peace and stability in the region.

Trade relations between the two countries were another key focus of the meeting. The United States remains the largest single export destination for Sri Lankan goods, and discussions centred on expanding bilateral trade cooperation in a manner beneficial to both countries. The tariffs imposed on Sri Lankan exports were also discussed.

President Dissanayake noted that Sri Lanka, as a small economy, could not be directly compared with a large economy such as the United States and said reducing the trade gap between the two countries would be challenging. Both sides also discussed the importance of concluding matters related to the trade agreement between Sri Lanka and the United States as soon as possible.

Minister of Labour and Deputy Minister of Finance and Planning Dr. Anil Jayantha Fernando and Secretary to the President Dr. Nandika Sanath Kumanayake also attended the meeting.

The U.S. delegation included Chargé d’Affaires of the U.S. Embassy in Sri Lanka Jayne Howell, Senior Economic Programmes Manager at the U.S. Department of State Matthew Ridgeway, Head of the Political Section at the U.S. Embassy Shailaja Kim, and other officials.