Ranil warns of massive job losses over US tariffs

• Describes situation as an ‘economic emergency’
• Calls on Govt. to act swiftly and inform public about measures taken

Former President Ranil Wickremesinghe yesterday warned over the serious economic threat posed by the US’s new reciprocal tariff policy on Sri Lankan exports, cautioning that over 100,000 jobs could be lost if urgent action is not taken.

In a special statement, Wickremesinghe called the situation an ‘economic emergency’; urging the Government to act swiftly and inform the public about its response.

“As tariffs increase, consumer demand for goods declines. This is not a hypothetical situation, it is already unfolding. One direct consequence of this will be job losses. Some estimate over 100,000 jobs are at risk, whether the number is exactly that or slightly lower, the figure is set to rise,” he added.

Wickremesinghe warned that the impact would not be limited to factory workers or export companies alone. “People running boarding houses, shops and other support services will also see their income affected. This will in turn, hurt our overall economy,” he added.

He also raised concerns about wider economic effects. He noted that a sharp drop in export earnings could worsen the country’s balance of payments (BoP) leading to further depreciation of the rupee and slow down growth.

“As our earnings decline, our borrowings needs will increase. The economy may slow down further and the rupee could depreciate even more,” he cautioned.

Calling for immediate diplomatic engagement with the US, Wickremesinghe stressed the need for open and honest communication with the public. 

“The Government must treat this as an emergency and clearly communicate what measures are being taken locally. Otherwise, one problem will follow another,” he added.