KARACHI: Pakistan’s trade deficit with Gulf Cooperation Council (GCC) states narrowed to $3.84 billion in the July–September quarter, down 4 percent from the same period last year, driven by falling global oil prices and reduced re-gasified liquefied natural gas (RLNG) imports, according to State Bank of Pakistan (SBP) data.

Pakistan’s imports from GCC countries declined 5 percent year-on-year to $4.61 billion, while exports to the bloc fell 11.4 percent to $767 million, the data showed.

“This contraction in our trade deficit with the Gulf region reflects the recent decrease in international brent prices as well as Pakistan’s reduced RLNG imports from Qatar in recent months,” Shankar Talreja, head of research at Topline Securities, told Arab News on Monday, noting that benchmark Brent crude prices declined more than 13 percent to $68.16 per barrel in the quarter.

“Oil prices have weakened by over $10 per barrel as a result petroleum imports are under control,” Talreja said.

Pakistan’s imports from Qatar dropped over 12 percent to $781 million in the period, SBP data shows. 

“For the last two-three months the government is deferring the purchase of RLNG cargo amidst its lower demand,” Talreja added. 

Pakistan remains heavily reliant on GCC suppliers for energy, with the UAE remaining its largest oil source. Total imports from the GCC stood at $17.9 billion in FY2025, compared to $3.79 billion in exports.

Meanwhile, Pakistan has begun diversifying its crude sourcing, with refiners importing US West Texas Intermediate (WTI) following tariff relief under Washington’s reciprocal tariff regime.

The adjustments helped Pakistan avoid duties of up to 29 percent on several export categories, as Islamabad seeks to narrow a goods trade surplus of around $3 billion with the United States.

Cnergyico, Pakistan’s largest oil refiner, imported the country’s first WTI cargo in late October and plans additional shipments in mid-November and early 2026, the company said last month.

Analysts expect Pakistan to continue balancing energy sourcing between Gulf and US suppliers depending on refinery economics, seasonal fuel demand and global price movements.