World News | Sri Lanka Opts for US Crude in Bid to Narrow Trade Balance
Get latest articles and stories on World at LatestLY. Sri Lanka is considering the purchase of crude oil from the US as part of its efforts to correct the trade imbalance with Washington, an official said on Monday.
Colombo, Jul 21 (PTI) Sri Lanka is considering the purchase of crude oil from the US as part of its efforts to correct the trade imbalance with Washington, an official said on Monday.
The development comes ahead of the August 1 deadline for negotiations on tariffs imposed by the Donald Trump-led administration.
Head of the state fuel entity Ceylon Petroleum Corporation (CPC) Janaka Rajakaruna told reporters that the West Texas Intermediate (WTI) crude oil would be invited to participate in Sri Lanka's competitive tender bids to buy crude oil.
Sri Lanka currently buys its entire crude oil requirements from Middle Eastern sources.
“We are open for competitive bids to supply crude by WTI," Rajakaruna said.
He added that before an invitation is extended for the competitive bidding process, steps would be taken to obtain samples from WTI to test whether the crude could be refined in the CPC refinery.
Since April, with the imposition of 44 per cent tariffs by the US, Sri Lanka has been negotiating with the US Trade Representative's Office.
The US brought the tariff down to 30 per cent in a letter sent by the Trump administration.
However, the island nation's export industry maintains that the move falls short, especially compared to the preferential treatment received by competitors like Vietnam.
Industry leaders emphasised the need for further negotiations, warning that high tariffs could lead to significant job losses and hamper Sri Lanka's ongoing International Monetary Fund-supervised economic recovery.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)